Notice2021-15743

Large Power Transformers From the Republic of Korea: Notice of Court Decision Not in Harmony With Final Results, Notice of Amended Final Results of Review; 2015-16

Primary source

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Published
July 23, 2021

Issuing agencies

Commerce DepartmentInternational Trade Administration

Abstract

On July 9, 2021, the Court of International Trade (CIT) sustained the final results of redetermination pursuant to remand pertaining to the administrative review of the antidumping duty order on large power transformers (LPTs) from the Republic of Korea (Korea) covering the period August 1, 2015, through July 31, 2016. The Department of Commerce (Commerce) is notifying the public that the final judgment is not in harmony with the final results of the administrative review, and that Commerce is amending the final results of review with respect to the weighted-average dumping margin assigned to Hyundai Heavy Industries Co., Ltd., Hyosung Corporation, and the non-examined company ILJIN Electric Co., Ltd.

Full Text

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<title>Federal Register, Volume 86 Issue 139 (Friday, July 23, 2021)</title>
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[Federal Register Volume 86, Number 139 (Friday, July 23, 2021)]
[Notices]
[Pages 38980-38982]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2021-15743]


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DEPARTMENT OF COMMERCE

International Trade Administration

[A-580-867]


Large Power Transformers From the Republic of Korea: Notice of 
Court Decision Not in Harmony With Final Results, Notice of Amended 
Final Results of Review; 2015-16

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

SUMMARY: On July 9, 2021, the Court of International Trade (CIT) 
sustained the final results of redetermination pursuant to remand 
pertaining to the administrative review of the antidumping duty order 
on large power transformers (LPTs) from the Republic of Korea (Korea) 
covering the period August 1, 2015, through July 31, 2016. The 
Department of Commerce (Commerce) is notifying the public that the 
final judgment is not in harmony with the final results of the 
administrative review, and that Commerce is amending the final results 
of review with respect to the weighted-average dumping margin assigned 
to Hyundai Heavy Industries Co., Ltd., Hyosung Corporation, and the 
non-examined company ILJIN Electric Co., Ltd.

DATES: Applicable July 19, 2021.

FOR FURTHER INFORMATION CONTACT: John K. Drury, 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) 482-0195.

SUPPLEMENTARY INFORMATION:

Background

    On March 16, 2018, Commerce issued the final results of the 
administrative review for the period August 1, 2015, through July 31, 
2016.\1\ In the Final Results, Commerce determined a weighted-average 
dumping margin for the two mandatory respondents, Hyundai Heavy 
Industries Co., Ltd. (Hyundai) and Hyosung Corporation (Hyosung), based 
on total facts available with an adverse inference, of 60.81 percent. 
Further, Commerce determined the weighted-average dumping margin for 
the three companies that were under review but not selected for 
individual examination, ILJIN, ILJIN Electric Co., Ltd. (ILJIN 
Electric), and LSIS Co., Ltd.

[[Page 38981]]

(LSIS), based on the rates determined for the mandatory respondents.
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    \1\ See Large Power Transformers from the Republic of Korea: 
Final Results of Antidumping Duty Administrative Review; 2015-2016, 
83 FR 11679 (March 16, 2018) (Final Results), and accompanying 
Issues and Decision Memorandum.
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    On August 5, 2019, the CIT remanded various aspects of the Final 
Results to Commerce.\2\ Specifically, the CIT directed Commerce to 
further explain or reconsider its reliance on total facts available 
with adverse inferences for both Hyundai and Hyosung. For Hyundai, the 
Court directed Commerce to further explain or reconsider its reliance 
on total facts available with adverse inferences with respect to 
Hyundai's failure to: (1) Provide information on accessories; (2) 
report home market gross unit prices properly; and (3) disclose an 
affiliated sales agent. For Hyosung, the Court directed Commerce to 
further explain or reconsider its reliance on total facts available 
with adverse inferences with respect to Hyosung's failure to: (1) 
Report service-related revenues contained on order acknowledgement 
forms (OAFs); (2) report certain discounts and rebates; and (3) explain 
the use of one invoice for multiple sales across multiple 
administrative reviews.
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    \2\ See Hyundai Heavy Industries, Co. Ltd. and Hyosung 
Corporation, Iljin Electric Co., Ltd. v. United States and ABB Inc., 
Consol. Court No. 18-00066, Slip Op. 19-105 (CIT August 5, 2019) 
(First Remand Order).
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    Pursuant to the First Remand Order, Commerce reconsidered and 
further explained its finding regarding Hyundai's failure to: (1) 
Provide information regarding accessories; (2) report home market gross 
unit prices properly; and (3) disclose an affiliated sales agent. 
Commerce also reconsidered and further explained its findings regarding 
Hyosung's failure to: (1) Report service-related revenues recorded on 
OAFs; (2) report certain discounts and rebates; and (3) explain the use 
of one invoice for multiple sales across multiple administrative 
reviews.\3\ With respect to Hyosung, Commerce determined that the 
issues related to service-related revenues recorded on OAFs and the use 
of one invoice for multiple sales across multiple reviews were no 
longer a basis for Commerce's application of total facts available with 
adverse inferences but that the failure to report certain discounts and 
rebates continued to constitute a basis for Commerce's application of 
total facts available with adverse inferences. For Hyundai, Commerce 
found that Hyundai's reporting with respect to accessories was not a 
basis for Commerce's application of total facts available with adverse 
inferences, but continued to find that the application of total facts 
available with adverse inferences was warranted due to the 
understatement of home market prices and inconsistent treatment of 
merchandise under consideration.\4\
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    \3\ See Memorandum, ``Final Results of Redetermination Pursuant 
to Court Remand Hyundai Heavy Industries, Co. Ltd. and Hyosung 
Corporation, Iljin Electric Co., Ltd. v. United States and ABB Inc., 
Consol. Court No. 18-00066, Slip Op. 19-105 (CIT August 5, 2019),'' 
dated December 19, 2019, and available at <a href="https://enforcement.trade.gov/remands/19-105.pdf">https://enforcement.trade.gov/remands/19-105.pdf</a> .
    \4\ Id.
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    On November 18, 2020, the CIT remanded Commerce's Final First 
Results of Redetermination with respect to the application of total 
adverse facts available for both Hyundai and Hyosung, finding that 
Commerce's redeterminations were not supported by substantial 
evidence.\5\ Pursuant to the Second Remand Order, Commerce reconsidered 
its reliance on total facts available with adverse inferences for both 
Hyundai and Hyosung. Commerce determined that the application of 
partial facts available with no adverse inferences was warranted with 
respect to both Hyundai and Hyosung.\6\ Commerce calculated a weighted-
average dumping margin of zero percent for both Hyundai and Hyosung.\7\ 
Commerce also applied an average of these two rates, i.e., zero 
percent, to ILJIN Electric, which was not selected for individual 
examination during the period of review and which was party to this 
litigation.\8\
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    \5\ See Hyundai Heavy Industries, Co. Ltd. and Hyosung 
Corporation and Iljin Electric Co., Ltd. v. United States and ABB 
Enterprise Software Inc., Consol. Court No. 18-00066, Slip Op. 20-
165 (CIT November 18, 2020) (Second Remand Order).
    \6\ See Memorandum, ``Final Results of Redetermination Pursuant 
to Court Remand: Hyundai Heavy Industries, Co. Ltd. and Hyosung 
Corporation, Iljin Electric Co., Ltd. v. United States and ABB Inc., 
Court No. 18-00066, Slip Op. 20-165 (CIT November 18, 2020),'' dated 
April 5, 2021, and available at <a href="https://enforcement.trade.gov/remands/20-165.pdf">https://enforcement.trade.gov/remands/20-165.pdf</a> (Final Results of Second Redetermination).
    \7\ Id.
    \8\ Id.
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    On July 9, 2021, the CIT sustained Commerce's Final Second Results 
of Redetermination.\9\
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    \9\ See Hyundai Heavy Industries, Co. Ltd. and Hyosung 
Corporation and Iljin Electric Co., Ltd. v. United States and ABB 
Enterprise Software Inc., Consol. Court No. 18-00066, Slip Op. 21-84 
(CIT July 9, 2021).
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Timken Notice

    In its decision in Timken,\10\ as clarified by Diamond 
Sawblades,\11\ the United States Court of Appeals for the Federal 
Circuit held that, pursuant to sections 516A(c) and (e) of the Tariff 
Act of 1930, as amended (the Act), Commerce must publish a notice of a 
court decision that is not ``in harmony'' with a Commerce determination 
and must suspend liquidation of entries pending a ``conclusive'' court 
decision. The CIT's July 9, 2021, judgment sustaining Commerce's Final 
Second Results of Redetermination constitutes a final decision of the 
CIT that is not in harmony with the Final Results. This notice is 
published in fulfillment of the publication requirements of Timken. 
Accordingly, Commerce will continue the suspension of liquidation of 
the subject merchandise at issue pending expiration of the period to 
appeal or, if appealed, pending a final and conclusive court decision.
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    \10\ See Timken Co. v. United States, 893 F.2d 337 (Fed. Cir. 
1990) (Timken), at 341.
    \11\ See Diamond Sawblades Mfrs. Coalition v. United States, 626 
F.3d 1374 (Fed. Cir. 2010) (Diamond Sawblades).
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Amended Final Results

    Because there is now a final court decision, Commerce is amending 
the Final Results with respect to the weighted-average dumping margin 
calculated for Hyundai, Hyosung and ILJIN Electric. Based on the Final 
Results of Second Redetermination, as affirmed by the CIT, the revised 
weighted-average dumping margin for Hyundai, Hyosung, and ILJIN 
Electric, from August 1, 2015, through July 31, 2016, are as follows:

------------------------------------------------------------------------
                                                               Weighted-
                                                                average
                    Producer or exporter                        dumping
                                                                margin
                                                               (percent)
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Hyundai Heavy Industries Co., Ltd...........................        0.00
Hyosung Corporation.........................................        0.00
ILJIN Electric Co., Ltd.....................................        0.00
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    In the event that the CIT's final judgement is not appealed or, if 
appealed, is upheld by a final and conclusive court decision, Commerce 
will instruct U.S. Customs and Border Protection to assess antidumping 
duties on unliquidated entries of subject merchandise based on the 
weighted-average dumping margins listed above for the Amended Final 
Results.

Cash Deposit Requirements

    Since the Final Results, Commerce has established new cash deposit 
rates for Hyundai, Hyosung, and ILJIN Electric.\12\ Therefore, this 
Final Results of Second Redetermination, as affirmed by the CIT, and as 
published in this notice, does not prospectively change the existing 
cash deposit rates for Hyundai, Hyosung, and ILJIN Electric.
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    \12\ See, e.g., Large Power Transformers from the Republic of 
Korea: Final Results of Antidumping Duty Administrative Duty 
Administrative Review; 2016-2017, 84 FR 16461 (April 19, 2019).

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[[Page 38982]]

Notification to Interested Parties

    This notice is issued and published in accordance with sections 
516A(e)(1), 751(a)(1), and 777(i)(1) of the Act.

    Dated: July 19, 2021.
Christian Marsh,
Acting Assistant Secretary for Enforcement and Compliance.
[FR Doc. 2021-15743 Filed 7-22-21; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on July 23, 2021.

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