Notice2022-12709
Citric Acid and Certain Citrate Salts From Belgium: Notice of Initiation and Preliminary Results of Antidumping Duty Changed Circumstances Review
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
June 13, 2022
Issuing agencies
Commerce DepartmentInternational Trade Administration
Abstract
The U.S. Department of Commerce (Commerce) is initiating a changed circumstances review of the antidumping duty (AD) order on citric acid and certain citrate salts (citric acid) from Belgium. Further, Commerce preliminarily determines that Citribel nv (Citribel) is the successor-in-interest to S.A. Citrique Belge N.V. (Citrique Belge) and should be assigned the same AD cash deposit rate for purposes of the AD order. Interested parties are invited to comment on these preliminary results.
Full Text
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<title>Federal Register, Volume 87 Issue 113 (Monday, June 13, 2022)</title>
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[Federal Register Volume 87, Number 113 (Monday, June 13, 2022)]
[Notices]
[Pages 35738-35740]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-12709]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-423-813]
Citric Acid and Certain Citrate Salts From Belgium: Notice of
Initiation and Preliminary Results of Antidumping Duty Changed
Circumstances Review
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
[[Page 35739]]
SUMMARY: The U.S. Department of Commerce (Commerce) is initiating a
changed circumstances review of the antidumping duty (AD) order on
citric acid and certain citrate salts (citric acid) from Belgium.
Further, Commerce preliminarily determines that Citribel nv (Citribel)
is the successor-in-interest to S.A. Citrique Belge N.V. (Citrique
Belge) and should be assigned the same AD cash deposit rate for
purposes of the AD order. Interested parties are invited to comment on
these preliminary results.
DATES: Applicable June 13, 2022.
FOR FURTHER INFORMATION CONTACT: Deborah Cohen, AD/CVD Operations,
Office III, Enforcement and Compliance, International Trade
Administration, U.S. Department of Commerce, 1401 Constitution Avenue
NW, Washington, DC 20230; telephone: (202) 482-4521.
SUPPLEMENTARY INFORMATION:
Background
On July 25, 2018, Commerce published the AD order on citric acid
from Belgium in the Federal Register.\1\ On April 27, 2022, Commerce
received a request on behalf of Citribel for an expedited changed
circumstances review, pursuant to section 751(b)(1) of the Tariff Act
of 1930, as amended (the Act) and 19 CFR 351.216(b), to establish
Citribel as the successor-in-interest to Citrique Belge, a Belgian
producer and exporter of citric acid, and thus, entitled to the AD cash
deposit rate of Citrique Belge.\2\ We did not receive comments from
other interested parties concerning this request.
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\1\ See Citric Acid and Certain Citrate Salts from Belgium,
Colombia and Thailand: Antidumping Duty Orders, 83 FR 35214 (July
25, 2018) (Order).
\2\ See Citribel's Letter, ``Citric Acid and Certain Citrate
Salts from Belgium--Request for Changed Circumstances Review,''
dated April 27, 2022 (CCR Request).
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Scope of the Order
The merchandise covered by this Order includes all grades and
granulation sizes of citric acid, sodium citrate, and potassium citrate
in their unblended forms, whether dry or in solution, and regardless of
packaging type. The scope also includes blends of citric acid, sodium
citrate, and potassium citrate; as well as blends with other
ingredients, such as sugar, where the unblended form(s) of citric acid,
sodium citrate, and potassium citrate constitute 40 percent or more, by
weight, of the blend.
The scope also includes all forms of crude calcium citrate,
including dicalcium citrate monohydrate, and tricalcium citrate
tetrahydrate, which are intermediate products in the production of
citric acid, sodium citrate, and potassium citrate.
The scope includes the hydrous and anhydrous forms of citric acid,
the dihydrate and anhydrous forms of sodium citrate, otherwise known as
citric acid sodium salt, and the monohydrate and monopotassium forms of
potassium citrate. Sodium citrate also includes both trisodium citrate
and monosodium citrate which are also known as citric acid trisodium
salt and citric acid monosodium salt, respectively.
The scope does not include calcium citrate that satisfies the
standards set forth in the United States Pharmacopeia and has been
mixed with a functional excipient, such as dextrose or starch, where
the excipient constitutes at least 2 percent, by weight, of the
product.
Citric acid and sodium citrate are classifiable under 2918.14.0000
and 2918.15.1000 of the Harmonized Tariff Schedule of the United States
(HTSUS), respectively. Potassium citrate and crude calcium citrate are
classifiable under 2918.15.5000 and, if included in a mixture or blend,
3824.99.9295 of the HTSUS. Blends that include citric acid, sodium
citrate, and potassium citrate are classifiable under 3824.99.9295 of
the HTSUS. Although the HTSUS subheadings are provided for convenience
and customs purposes, the written description of the merchandise is
dispositive.
Initiation of Changed Circumstances Review
Pursuant to section 751(b)(1) of the Act, Commerce will conduct a
changed circumstances review upon receipt of information concerning, or
a request from, an interested party for a review of an AD order which
shows changed circumstances sufficient to warrant a review of the
order. In the past, Commerce has used changed circumstances reviews to
address the applicability of cash deposit rates after there have been
changes in the name or structure of a respondent, such as a merger or
spinoff (`successor-in-interest' or `successorship' determinations).\3\
On March 14, 2022, Citrique Belge changed its name to Citribel and
claims that the change was in name only and that its operations remain
materially unchanged. Based on a review of the request from Citribel,
and in accordance with section 751(b) of the Act and 19 CFR 351.216(d),
we find that the information submitted in the CCR Request supporting
Citribel's claim that it should be treated as the successor-in-interest
to Citrique Belge is sufficient to warrant such a review to determine
whether Citribel is entitled to Citrique Belge's AD cash deposit rate.
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\3\ See, e.g., Diamond Sawblades and Parts Thereof from the
People's Republic of China: Initiation and Preliminary Results of
Antidumping Duty Changed Circumstances Review, 82 FR 51605, 51606
(November 7, 2017) (Diamond Sawblades Preliminary), unchanged in
Diamond Sawblades and Parts Thereof from the People's Republic of
China: Final Results of Antidumping Duty Changed Circumstances
Review, 82 FR 60177 (December 19, 2017) (Diamond Sawblades Final).
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Preliminary Results
Section 351.221(c)(3)(ii) of Commerce's regulations permits
Commerce to combine the notice of initiation of a changed circumstances
review and the notice of preliminary results if Commerce concludes that
expedited action is warranted. In this instance, because the record
contains information necessary to make a preliminary finding, we find
that expedited action is warranted and have combined the notice of
initiation and the notice of preliminary results.
Accordingly, pursuant to section 751(b) of the Act, we have
conducted a successor-in-interest analysis in response to Citribel's
request. In making a successor-in-interest determination, Commerce
examines several factors, including, but not limited to, changes in the
following: (1) management and ownership; (2) production facilities; (3)
supplier relationships; and (4) customer base.\4\ While no single
factor or combination of factors will necessarily provide a dispositive
indication of a successor-in-interest relationship, generally, Commerce
will consider the new company to be the successor to the previous
company if the new company's resulting operation is not materially
dissimilar to that of its predecessor.\5\ Thus, if the evidence
demonstrates that, with respect to the production and sales of the
subject merchandise, the new company operates as essentially the same
business entity as the former company, Commerce will accord the
[[Page 35740]]
new company the same antidumping treatment as its predecessor.\6\
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\4\ See, e.g., Diamond Sawblades Final; see also Certain Frozen
Warmwater Shrimp from India: Initiation and Preliminary Results of
Antidumping Duty Changed Circumstances Review, 83 FR 37784 (August
2, 2018), unchanged in Certain Frozen Warmwater Shrimp from India:
Notice of Final Results of Antidumping Duty Changed Circumstances
Review, 83 FR 49909 (October 3, 2018).
\5\ See, e.g., Diamond Sawblades Final; see also Certain Frozen
Warmwater Shrimp from India: Initiation and Preliminary Results of
Antidumping Duty Changed Circumstances Review, 83 FR 37784 (August
2, 2018), unchanged in Certain Frozen Warmwater Shrimp from India:
Notice of Final Results of Antidumping Duty Changed Circumstances
Review, 83 FR 49909 (October 3, 2018).
\6\ See, e.g., Notice of Initiation and Preliminary Results of
Antidumping Duty Changed Circumstances Review: Certain Frozen
Warmwater Shrimp from India, 77 FR 64953 (October 24, 2012),
unchanged in Final Results of Antidumping Duty Changed Circumstances
Review: Certain Frozen Warmwater Shrimp from India, 77 FR 73619
(December 11, 2012).
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We preliminarily determine that Citribel is the successor-in-
interest to Citrique Belge for purposes of the Order. Specifically,
Citribel provided documentation demonstrating approval of Citrique
Belge's name change by Citrique Belge's shareholders (which remained
unchanged from prior to the name change).\7\ Citrique Belge's
shareholders approved of the name change in March 2022, the name change
was effectuated by the new articles of association dated March 14,
2022,\8\ and it was announced on March 16, 2022.\9\ Citribel asserts
that the name change was made with the purpose of ``promot{ing{time}
the company's commercial growth.'' \10\ As support, Citribel provided
the search results from the Belgian Federal Public Service enquiry that
demonstrate that Citribel's enterprise number and address remain the
same as found on Citrique Belge's most recent financial statements.\11\
Citribel also provided updated articles of association that reflect the
name change, which reflects that the purpose of the company remains
unchanged from the prior articles.\12\ The lack of changes to the
articles supports the claim that Citribel's operations with respect to
the sales of subject merchandise have not materially changed as a
result of its name change.
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\7\ See CCR Request at Exhibits 1 and 6.
\8\ Id. at Exhibit 1 and 2a.
\9\ Id. at Exhibit 3.
\10\ Id. at 3.
\11\ Id. at Exhibits 11 and 12.
\12\ Id. at Exhibits 2a and 2b at Article 3.
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In addition, the record includes a list of board of directors, an
organizational chart and an ownership structure that all remain the
same before and after the name change, supporting Citribel's assertion
that there were no ownership, director, or management changes related
to the name change.\13\ Further, Citribel notes that there was no
change to its production facility as a result of the name change, as
Citribel operates the sole production facility that was operated by
Citrique Belge.\14\ Moreover, Citribel provided lists of both its
suppliers and U.S. customers, for the year before and the month
following the name change to support its assertion that there have been
no material changes to Citrique Belge's suppliers or its customer base
following the name change. This documentation shows that the top
suppliers and customers are substantially similar both pre- and post-
name change.
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\13\ Id. at Exhibits 4-6.
\14\ Id. at 4-5 and Exhibit 13 at 2.
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Therefore, based on the aforementioned evidence on the record, we
preliminarily determine that Citribel is the successor-in-interest to
Citrique Belge, as the change in the business' name was not accompanied
by significant changes to its management and ownership, production,
facilities, supplier relationships, or customer base. Thus, we
preliminarily determine that Citribel operates as essentially the same
business entity as Citrique Belge, that Citribel is the successor-in-
interest to Citrique Belge, and that Citribel should receive the same
AD cash deposit rate with respect to subject merchandise as its
predecessor, Citrique Belge.
Should our final results remain unchanged from these preliminary
results, we will instruct U.S. Customs and Border Protection to assign
entries of subject merchandise exported by Citribel the AD cash deposit
rate applicable to Citrique Belge. Commerce will issue its final
results of the review in accordance with the time limits set forth in
19 CFR 351.216(e).
Public Comment
Pursuant to 19 CFR 351.310(c), any interested party may request a
hearing within 14 days of publication of this notice.\15\ In accordance
with 19 CFR 351.309(c)(1)(ii), interested parties may submit case
briefs not later than 14 days after the date of publication of this
notice.\16\ Rebuttal briefs, limited to issues raised in the case
briefs, may be filed no later than seven days after the case briefs, in
accordance with 19 CFR 351.309(d).\17\ Parties who submit case or
rebuttal briefs are encouraged to submit with each argument: (1) A
statement of the issue; (2) a brief summary of the argument; and (3) a
table of authorities.\18\ All comments are to be filed electronically
using ACCESS, available to registered users at <a href="https://access.trade.gov">https://access.trade.gov</a>, and must also be served on interested parties. An
electronically filed document must be received successfully in its
entirety by ACCESS by 5:00 p.m. Eastern Time on the day it is due.\19\
Note that Commerce has temporarily modified certain requirements for
serving documents containing business proprietary information, until
further notice.\20\
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\15\ Commerce is exercising its discretion under 19 CFR
351.310(c) to alter the time limit for requesting a hearing.
\16\ Commerce is exercising its discretion under 19 CFR
351.309(c)(1)(ii) to alter the time limit for the filing of case
briefs.
\17\ Commerce is exercising its discretion under 19 CFR
351.309(d)(1) to alter the time limit for the filing of rebuttal
briefs.
\18\ See 19 CFR 351.309(c)(2).
\19\ See 19 CFR 351.303(b).
\20\ See Temporary Rule Modifying AD/CVD Service Requirements
Due to COVID-19; Extension of Effective Period, 85 FR 41363 (July
10, 2020).
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Consistent with 19 CFR 351.216(e), we will issue the final results
of this changed circumstances review no later than 270 days after the
date on which this review was initiated, or within 45 days if all
parties agree to our preliminary finding.
Notification to Interested Parties
This notice is published in accordance with sections 751(b)(1) and
777(i) of the Act and 19 CFR 351.216(b), 351.221(b) and 351.221(c)(3).
Dated: June 7, 2022.
Lisa W. Wang,
Assistant Secretary for Enforcement and Compliance.
[FR Doc. 2022-12709 Filed 6-10-22; 8:45 am]
BILLING CODE 3510-DS-P
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</html>Indexed from Federal Register on June 13, 2022.
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