83_FR_45266 83 FR 45094 - Large Power Transformers From the Republic of Korea: Notice of Final Results of Antidumping Duty Changed Circumstances Review

83 FR 45094 - Large Power Transformers From the Republic of Korea: Notice of Final Results of Antidumping Duty Changed Circumstances Review

DEPARTMENT OF COMMERCE
International Trade Administration

Federal Register Volume 83, Issue 172 (September 5, 2018)

Page Range45094-45095
FR Document2018-19210

The Department of Commerce (Commerce) finds that Hyundai Electric & Energy Systems Co., Ltd. (HEES) is the successor-in-interest to Hyundai Heavy Industries Co., Ltd. (HHI) and that HHI's current cash deposit rate is the applicable rate for all entries of the subject merchandise exported by HEES. In addition, we determine that facts presented in this changed circumstances review (CCR) warrant the retroactive application of the cash deposit rate to the effective date of the first entry by HEES.

Federal Register, Volume 83 Issue 172 (Wednesday, September 5, 2018) 
[Federal Register Volume 83, Number 172 (Wednesday, September 5, 2018)]
[Notices]
[Pages 45094-45095]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-19210]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-580-867]


Large Power Transformers From the Republic of Korea: Notice of 
Final Results of Antidumping Duty Changed Circumstances Review

AGENCY: Enforcement and Compliance, International Trade Administration, 
Department of Commerce.

SUMMARY: The Department of Commerce (Commerce) finds that Hyundai 
Electric & Energy Systems Co., Ltd. (HEES) is the successor-in-interest 
to Hyundai Heavy Industries Co., Ltd. (HHI) and that HHI's current cash 
deposit rate is the applicable rate for all entries of the subject 
merchandise exported by HEES. In addition, we determine that facts 
presented in this changed circumstances review (CCR) warrant the 
retroactive application of the cash deposit rate to the effective date 
of the first entry by HEES.

DATES: Applicable September 5, 2018.

FOR FURTHER INFORMATION CONTACT: John C. McGowan, AD/CVD Operations, 
Office VI, Enforcement and Compliance, International Trade 
Administration, U.S. Department of Commerce, 1401 Constitution Avenue 
NW, Washington, DC 20230; telephone: (202) 482-3019.

SUPPLEMENTARY INFORMATION: 

Background

    On August 31, 2012, Commerce published in the Federal Register an 
antidumping duty order on large power transformers (LPTs) from the 
Republic of Korea (Korea).\1\ HHI was one of the producers/exporters 
reviewed in the less-than fair-value investigation and has been 
reviewed in each subsequent administrative review of the Order. During 
the 2014-2015 administrative review, covering the period August 1, 
2014, through July 31, 2015, Commerce assigned HHI an antidumping duty 
rate of 60.81 percent, finding that the application of total adverse 
facts available (AFA) was warranted.\2\ In addition, during the 2015-
2016 administrative review, covering the period August 1, 2015, through 
July 31, 2016, Commerce continued to assign HHI an antidumping duty 
rate of 60.81 percent, finding that the application of total AFA was 
warranted.\3\
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    \1\ See Large Power Transformers from the Republic of Korea: 
Antidumping Duty Order, 77 FR 53177 (August 31, 2012) (the Order).
    \2\ See Large Power Transformers from the Republic of Korea: 
Final Results of Antidumping Duty Administrative Review; 2014-2015, 
82 FR 13432 (March 13, 2017) (2014/2015 Final Results).
    \3\ See Large Power Transformers from the Republic of Korea: 
Final Results of Antidumping Duty Administrative Review; 2015-2016, 
83 FR 11679 (March 16, 2018) (2015-2016 Final Results).
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    Pursuant to section 751(b)(1) of the Tariff Act of 1930, as amended 
(the Act) and 19 CFR 351.216(d), on December 4, 2017, Commerce self-
initiated a CCR regarding HHI's new spin off company, HEES, based on 
information obtained: (1) During the course of the 2014/2015 and 2015/
2016 administrative reviews; (2) via public search and a phone 
conversation with a representative retained by ABB Inc.'s (ABB's or the 
petitioner's) counsel; and (3) from U.S. Customs and Border Protection 
(CBP) data.\4\
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    \4\ See Large Power Transformers from the Republic of Korea: 
Initiation of Antidumping Duty Changed Circumstances Review, 82 FR 
57210 (December 4, 2017) (Initiation Notice).
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    On May 31, 2018, Commerce issued the Preliminary Results of this 
CCR, in which it determined that: (1) HEES is the successor-in-interest 
to HHI; (2) HHI's current cash deposit rate is the rate applicable for 
all entries of LPTs exported by HEES; and (3) the application of the 
cash deposit rate applicable to HEES shall be made

[[Page 45095]]

retroactively to the effective date of the first entry by HEES.\5\
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    \5\ See Large Power Transformers from the Republic of Korea: 
Notice of Preliminary Results of Antidumping Duty Changed 
Circumstances Review, 83 FR 24973 (May 31, 2018) (Preliminary 
Results) and the accompanying Preliminary Decision Memorandum.
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    On July 6, 2018, Hyundai submitted comments regarding the 
Preliminary Results.\6\ On July 13, 2018, ABB submitted its rebuttal 
brief.\7\
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    \6\ HHI and HEES are collectively referred to as Hyundai. See 
Letter from Hyundai to Commerce, ``Large Power Transformers from 
Korea: Hyundai's Case Brief,'' dated July 6, 2018.
    \7\ See Letter from the petitioner to Commerce, ``Large Power 
Transformers from the Republic of Korea: Petitioner's Rebuttal 
Brief,'' dated July 13, 2018.
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Scope of the Order

    The scope of this Order covers large liquid dielectric power 
transformers having a top power handling capacity greater than or equal 
to 60,000 kilovolt amperes (60 megavolt amperes), whether assembled or 
unassembled, complete or incomplete.
    Incomplete LPTs are subassemblies consisting of the active part and 
any other parts attached to, imported with or invoiced with the active 
parts of LPTs. The ``active part'' of the transformer consists of one 
or more of the following when attached to or otherwise assembled with 
one another: The steel core or shell, the windings, electrical 
insulation between the windings, the mechanical frame for an LPT.
    The product definition encompasses all such LPTs regardless of name 
designation, including but not limited to step-up transformers, step-
down transformers, autotransformers, interconnection transformers, 
voltage regulator transformers, rectifier transformers, and power 
rectifier transformers.
    The LPTs subject to this Order are currently classifiable under 
subheadings 8504.23.0040, 8504.23.0080, and 8504.90.9540 of the 
Harmonized Tariff Schedule of the United States (HTSUS). Although the 
HTSUS subheadings are provided for convenience and customs purposes, 
the written description of the scope of this Order is dispositive.

Analysis of Comments Received

    The issue raised in the case and rebuttal briefs by parties to this 
CCR is addressed in the Issues and Decision Memorandum, which is hereby 
adopted by this notice.\8\ A list of the topics discussed in the Issues 
and Decision Memorandum is attached to this notice as an Appendix. 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 it is available 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 on the internet at http://enforcement.trade.gov/frn/. The 
signed Issues and Decision Memorandum and the electronic version of the 
Issues and Decision Memorandum are identical in content.
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    \8\ See Memorandum to 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, ``Final Results of Changed Circumstances 
Review Regarding Successor-In-Interest Analysis: Large Power 
Transformers from the Republic of Korea,'' dated concurrently with 
this notice (Issues and Decision Memorandum).
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Final Results of Changed Circumstances Review

    Based on the record evidence and our analysis of the comments 
received, Commerce continues to find that applying HHI's current cash 
deposit rate of 60.81 percent retroactively to the effective date of 
the first entry of HEES, HHI's successor-in-interest, is warranted.\9\
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    \9\ See Issues and Decision Memorandum.
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Instructions to U.S. Customs and Border Protection

    As a result of this determination, Commerce will instruct CBP to 
collect estimated antidumping duties for all shipments of the subject 
merchandise produced and/or exported by HEES and entered, or withdrawn 
from warehouse, for consumption on or after the date of the first entry 
made by HEES at the 60.81 percent rate established in the 2014-2015 and 
2015-2016 antidumping duty administrative reviews. This cash deposit 
requirement shall remain in effect until further notice.

Notification to Interested Parties

    This notice serves as a reminder to parties subject to 
administrative protective orders (APOs) of their responsibility 
concerning the disposition of proprietary information disclosed under 
APO in accordance with 19 CFR 351.306. Timely written notification of 
the 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 sanctionable violation.
    We are issuing and publishing this final results notice in 
accordance with sections 751(b) and 777(i) of the Act, and 19 CFR 
351.216, 351.221(b)(5), and 351.221(c)(3).

    Dated: August 28, 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

List of Topics Discussed in the Issues and Decision Memorandum

I. Summary
II. Background
III. Scope of the Order
IV. Discussion of Interested Party Comments
    Comment: Whether Retroactive Application of a Cash Deposit Rate 
to a Successor-in-Interest Is Permitted by Law and Consistent With 
Commerce's Practice
V. Recommendation

[FR Doc. 2018-19210 Filed 9-4-18; 8:45 am]
 BILLING CODE 3510-DS-P

45094 Federal Register / Vol. 83, No. 172 / Wednesday, September 5, 2018 / Notices DEPARTMENT OF COMMERCE connections (duty rate ranges from duty- International Trade Administration, free to 5.3%). The request indicates that U.S. Department of Commerce, 1401 Foreign-Trade Zones Board certain materials/components are Constitution Avenue NW, Washington, [B–54–2018] subject to special duties under Section DC 20230; telephone: (202) 482–3019. 301 of the Trade Act of 1974 (Section SUPPLEMENTARY INFORMATION: Foreign-Trade Zone (FTZ) 75— 301), depending on the country of Phoenix, Arizona; Notification of origin. The applicable Section 301 Background Proposed Production Activity; decision requires subject merchandise Microchip Technology, Inc. to be admitted to FTZs in privileged On August 31, 2012, Commerce (Semiconductor Devices and Related foreign status (19 CFR 146.41). published in the Federal Register an Products); Chandler and Tempe, Public comment is invited from antidumping duty order on large power Arizona interested parties. Submissions shall be transformers (LPTs) from the Republic addressed to the Board’s Executive of Korea (Korea).1 HHI was one of the Microchip Technology, Inc. Secretary at the address below. The producers/exporters reviewed in the (Microchip) submitted a notification of closing period for their receipt is less-than fair-value investigation and proposed production activity to the FTZ October 15, 2018. has been reviewed in each subsequent Board for its facilities in Chandler and A copy of the notification will be administrative review of the Order. Tempe, Arizona. The notification available for public inspection at the During the 2014–2015 administrative conforming to the requirements of the Office of the Executive Secretary, review, covering the period August 1, regulations of the FTZ Board (15 CFR Foreign-Trade Zones Board, Room 2014, through July 31, 2015, Commerce 400.22) was received on August 28, 21013, U.S. Department of Commerce, assigned HHI an antidumping duty rate 2018. 1401 Constitution Avenue NW, Microchip already has authority to of 60.81 percent, finding that the Washington, DC 20230–0002, and in the application of total adverse facts produce semiconductor devices and ‘‘Reading Room’’ section of the Board’s related products within Subzone 75H. available (AFA) was warranted.2 In website, which is accessible via addition, during the 2015–2016 The current request would add foreign www.trade.gov/ftz. status materials/components to the administrative review, covering the For further information, contact period August 1, 2015, through July 31, scope of authority. Pursuant to 15 CFR Elizabeth Whiteman at 400.14(b), additional FTZ authority 2016, Commerce continued to assign Elizabeth.Whiteman@trade.gov or (202) HHI an antidumping duty rate of 60.81 would be limited to the specific foreign- 482–0473. status materials/components described percent, finding that the application of in the submitted notification (as Dated: August 29, 2018. total AFA was warranted.3 described below) and subsequently Andrew McGilvray, Pursuant to section 751(b)(1) of the authorized by the FTZ Board. Executive Secretary. Tariff Act of 1930, as amended (the Act) Production under FTZ procedures [FR Doc. 2018–19207 Filed 9–4–18; 8:45 am] and 19 CFR 351.216(d), on December 4, could exempt Microchip from customs BILLING CODE 3510–DS–P 2017, Commerce self-initiated a CCR duty payments on the foreign-status regarding HHI’s new spin off company, materials/components used in export HEES, based on information obtained: production. On its domestic sales, for DEPARTMENT OF COMMERCE (1) During the course of the 2014/2015 the foreign-status materials/components and 2015/2016 administrative reviews; noted below, Microchip would be able International Trade Administration (2) via public search and a phone to choose the duty rates during customs [A–580–867] conversation with a representative entry procedures that apply to: Field retained by ABB Inc.’s (ABB’s or the programmable microcontrollers; Large Power Transformers From the petitioner’s) counsel; and (3) from U.S. application-specific processors; related Republic of Korea: Notice of Final Customs and Border Protection (CBP) memory products; and, application Results of Antidumping Duty Changed data.4 development tools (duty rate ranges Circumstances Review On May 31, 2018, Commerce issued from duty-free to 3%). Microchip would AGENCY: Enforcement and Compliance, the Preliminary Results of this CCR, in be able to avoid duty on foreign-status International Trade Administration, which it determined that: (1) HEES is components which become scrap/waste. Department of Commerce. the successor-in-interest to HHI; (2) Customs duties also could possibly be HHI’s current cash deposit rate is the SUMMARY: The Department of Commerce deferred or reduced on foreign-status rate applicable for all entries of LPTs (Commerce) finds that Hyundai Electric production equipment. exported by HEES; and (3) the The materials/components sourced & Energy Systems Co., Ltd. (HEES) is the successor-in-interest to Hyundai Heavy application of the cash deposit rate from abroad include: In-circuit applicable to HEES shall be made debuggers; rubber caps; evaporative air Industries Co., Ltd. (HHI) and that HHI’s coolers; antennas; plastic boxes, cases, current cash deposit rate is the crates, stoppers, lids and caps; memory applicable rate for all entries of the 1 See Large Power Transformers from the subject merchandise exported by HEES. Republic of Korea: Antidumping Duty Order, 77 FR modules—not incorporating a cathode 53177 (August 31, 2012) (the Order). ray tube; brushless DC electric motors; In addition, we determine that facts 2 See Large Power Transformers from the power supply, output < 50 watts; static presented in this changed circumstances Republic of Korea: Final Results of Antidumping converters; transformers; relay review (CCR) warrant the retroactive Duty Administrative Review; 2014–2015, 82 FR daltland on DSKBBV9HB2PROD with NOTICES application of the cash deposit rate to 13432 (March 13, 2017) (2014/2015 Final Results). contactors; lamp-holder plugs; lamp 3 See Large Power Transformers from the sockets; electrical equipment for the effective date of the first entry by Republic of Korea: Final Results of Antidumping switching of electrical circuits; servo HEES. Duty Administrative Review; 2015–2016, 83 FR drive boards (for test floor probers); DATES: Applicable September 5, 2018. 11679 (March 16, 2018) (2015–2016 Final Results). 4 See Large Power Transformers from the infrared lamps; printed circuit FOR FURTHER INFORMATION CONTACT: John Republic of Korea: Initiation of Antidumping Duty assemblies; coaxial cables; and, C. McGowan, AD/CVD Operations, Changed Circumstances Review, 82 FR 57210 electrical conductors with fitted Office VI, Enforcement and Compliance, (December 4, 2017) (Initiation Notice). VerDate Sep<11>2014 17:04 Sep 04, 2018 Jkt 244001 PO 00000 Frm 00007 Fmt 4703 Sfmt 4703 E:\FR\FM\05SEN1.SGM 05SEN1

Federal Register / Vol. 83, No. 172 / Wednesday, September 5, 2018 / Notices 45095 retroactively to the effective date of the discussed in the Issues and Decision We are issuing and publishing this first entry by HEES.5 Memorandum is attached to this notice final results notice in accordance with On July 6, 2018, Hyundai submitted as an Appendix. The Issues and sections 751(b) and 777(i) of the Act, comments regarding the Preliminary Decision Memorandum is a public and 19 CFR 351.216, 351.221(b)(5), and Results.6 On July 13, 2018, ABB document and is on file electronically 351.221(c)(3). submitted its rebuttal brief.7 via Enforcement and Compliance’s Dated: August 28, 2018. Antidumping and Countervailing Duty Scope of the Order Gary Taverman, Centralized Electronic Service System Deputy Assistant Secretary for Antidumping The scope of this Order covers large (ACCESS). ACCESS is available to and Countervailing Duty Operations, liquid dielectric power transformers registered users at https:// performing the non-exclusive functions and having a top power handling capacity access.trade.gov, and it is available to duties of the Assistant Secretary for greater than or equal to 60,000 kilovolt all parties in the Central Records Unit, Enforcement and Compliance. amperes (60 megavolt amperes), Room B8024, of the main Department of whether assembled or unassembled, Commerce building. In addition, a Appendix complete or incomplete. complete version of the Issues and List of Topics Discussed in the Issues and Incomplete LPTs are subassemblies Decision Memorandum can be accessed Decision Memorandum consisting of the active part and any directly on the internet at http:// I. Summary other parts attached to, imported with or enforcement.trade.gov/frn/. The signed II. Background invoiced with the active parts of LPTs. Issues and Decision Memorandum and III. Scope of the Order The ‘‘active part’’ of the transformer the electronic version of the Issues and IV. Discussion of Interested Party Comments consists of one or more of the following Decision Memorandum are identical in Comment: Whether Retroactive when attached to or otherwise content. Application of a Cash Deposit Rate to a assembled with one another: The steel Successor-in-Interest Is Permitted by Final Results of Changed Law and Consistent With Commerce’s core or shell, the windings, electrical Circumstances Review Practice insulation between the windings, the V. Recommendation mechanical frame for an LPT. Based on the record evidence and our analysis of the comments received, [FR Doc. 2018–19210 Filed 9–4–18; 8:45 am] The product definition encompasses all such LPTs regardless of name Commerce continues to find that BILLING CODE 3510–DS–P designation, including but not limited to applying HHI’s current cash deposit rate step-up transformers, step-down of 60.81 percent retroactively to the effective date of the first entry of HEES, DEPARTMENT OF COMMERCE transformers, autotransformers, interconnection transformers, voltage HHI’s successor-in-interest, is warranted.9 International Trade Administration regulator transformers, rectifier transformers, and power rectifier Instructions to U.S. Customs and [A–570–090] transformers. Border Protection The LPTs subject to this Order are As a result of this determination, Certain Steel Wheels 12 to 16.5 Inches currently classifiable under subheadings Commerce will instruct CBP to collect in Diameter From the People’s 8504.23.0040, 8504.23.0080, and estimated antidumping duties for all Republic of China: Initiation of Less- 8504.90.9540 of the Harmonized Tariff shipments of the subject merchandise Than-Fair-Value Investigation Schedule of the United States (HTSUS). produced and/or exported by HEES and Although the HTSUS subheadings are entered, or withdrawn from warehouse, AGENCY: Enforcement and Compliance, provided for convenience and customs for consumption on or after the date of International Trade Administration, purposes, the written description of the the first entry made by HEES at the Department of Commerce. scope of this Order is dispositive. 60.81 percent rate established in the DATES: Applicable August 28, 2018. Analysis of Comments Received 2014–2015 and 2015–2016 antidumping FOR FURTHER INFORMATION CONTACT: Paul duty administrative reviews. This cash Stolz or Jonathan Cornfield at (202) The issue raised in the case and deposit requirement shall remain in rebuttal briefs by parties to this CCR is 482–4474 or (202) 482–3855, effect until further notice. respectively; AD/CVD Operations, addressed in the Issues and Decision Memorandum, which is hereby adopted Notification to Interested Parties Enforcement and Compliance, by this notice.8 A list of the topics This notice serves as a reminder to International Trade Administration, parties subject to administrative U.S. Department of Commerce, 1401 5 See Large Power Transformers from the protective orders (APOs) of their Constitution Avenue NW, Washington, Republic of Korea: Notice of Preliminary Results of responsibility concerning the DC 20230. Antidumping Duty Changed Circumstances Review, 83 FR 24973 (May 31, 2018) (Preliminary Results) disposition of proprietary information SUPPLEMENTARY INFORMATION: and the accompanying Preliminary Decision disclosed under APO in accordance Memorandum. The Petition with 19 CFR 351.306. Timely written 6 HHI and HEES are collectively referred to as Hyundai. See Letter from Hyundai to Commerce, notification of the destruction of APO On August 8, 2018, the U.S. ‘‘Large Power Transformers from Korea: Hyundai’s materials or conversion to judicial Department of Commerce (Commerce) Case Brief,’’ dated July 6, 2018. protective order is hereby requested. received an antidumping duty (AD) 7 See Letter from the petitioner to Commerce, Failure to comply with the regulations Petition concerning imports of certain daltland on DSKBBV9HB2PROD with NOTICES ‘‘Large Power Transformers from the Republic of and terms of an APO is a sanctionable steel wheels 12 to 16.5 inches in Korea: Petitioner’s Rebuttal Brief,’’ dated July 13, 2018. violation. diameter (certain steel wheels) from the 8 See Memorandum to Gary Taverman, Deputy People’s Republic of China (China), Assistant Secretary for Antidumping and Regarding Successor-In-Interest Analysis: Large filed in proper form on behalf of Dexstar Countervailing Duty Operations, performing the Power Transformers from the Republic of Korea,’’ Wheel, a division of Americana non-exclusive functions and duties of the Assistant dated concurrently with this notice (Issues and Secretary for Enforcement and Compliance, ‘‘Final Decision Memorandum). Development, Inc. (the petitioner), Results of Changed Circumstances Review 9 See Issues and Decision Memorandum. which is a domestic producer of certain VerDate Sep<11>2014 17:04 Sep 04, 2018 Jkt 244001 PO 00000 Frm 00008 Fmt 4703 Sfmt 4703 E:\FR\FM\05SEN1.SGM 05SEN1


Document Created: 2018-09-05 01:59:28
Document Modified: 2018-09-05 01:59:28
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 September 5, 2018.
ContactJohn C. McGowan, AD/CVD Operations, Office VI, Enforcement and Compliance, International Trade Administration, U.S. Department of Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone: (202) 482-3019.
FR Citation83 FR 45094 
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