Notice2023-25735
Frozen Warmwater Shrimp From Ecuador, India, Indonesia, and the Socialist Republic of Vietnam: Initiation of Countervailing Duty Investigations
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
November 21, 2023
Issuing agencies
Commerce DepartmentInternational Trade Administration
Full Text
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<title>Federal Register, Volume 88 Issue 223 (Tuesday, November 21, 2023)</title>
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[Federal Register Volume 88, Number 223 (Tuesday, November 21, 2023)]
[Notices]
[Pages 81053-81058]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2023-25735]
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DEPARTMENT OF COMMERCE
International Trade Administration
[C-331-806; C-533-921; C-560-843; C-552-838]
Frozen Warmwater Shrimp From Ecuador, India, Indonesia, and the
Socialist Republic of Vietnam: Initiation of Countervailing Duty
Investigations
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
DATES: Applicable November 14, 2023.
FOR FURTHER INFORMATION CONTACT: Zachary Shaykin (Ecuador), Steven
Seifert (India), Kelsie Hohenberger (Indonesia), and Adam Simons
(Vietnam), AD/CVD Operations, Offices II, IV, V, and IX, Enforcement
and Compliance, International Trade Administration, U.S. Department of
Commerce, 1401 Constitution Avenue NW, Washington, DC 20230; telephone:
(202) 482-2630, (202) 482-3350, (202) 482-2517, or (202) 482-6172,
respectively.
SUPPLEMENTARY INFORMATION:
The Petitions
On October 25, 2023, the U.S. Department of Commerce (Commerce)
received countervailing duty (CVD) petitions concerning imports of
frozen warmwater shrimp (shrimp) from Ecuador, India, Indonesia, and
the Socialist Republic of Vietnam (Vietnam) filed in proper form on
behalf of the American Shrimp Processors Association (ASPA or the
petitioner).\1\ The CVD petitions were accompanied by antidumping duty
(AD) petitions concerning imports of shrimp from Ecuador and
Indonesia.\2\
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\1\ See Petitioner's Letter, ``Petitions for the Imposition of
Antidumping and Countervailing Duties on Frozen Warmwater Shrimp
from Ecuador, India, Indonesia, and the Socialist Republic of
Vietnam,'' dated October 25, 2023 (Petitions).
\2\ Id.
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On October 27, 2023, through November 9, 2023, Commerce requested
supplemental information pertaining to certain aspects of the
Petitions.\3\ On October 26, 2023, the petitioner filed an amendment to
the proposed scope.\4\ On October 31, through November 13, 2023, the
petitioner filed timely responses to these requests for additional
information.\5\
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\3\ See Commerce's Letters, ``Petition for the Imposition of
Countervailing Duties on Imports of Frozen Warmwater Shrimp from
Ecuador: Supplemental Questions,'' dated October 27, 2023;
``Petition for the Imposition of Countervailing Duties on Imports of
Frozen Warmwater Shrimp from the Socialist Republic of Vietnam:
Supplemental Questions, dated October 27, 2023; ``Petition for the
Imposition of Countervailing Duties on Imports of Frozen Warmwater
Shrimp from Indonesia: Supplemental Questions,'' dated October 27,
2023; ``Petition for the Imposition of Countervailing Duties on
Imports of Frozen Warmwater Shrimp from India: Supplemental
Questions,'' dated October 27, 2023; ``Petitions for the Imposition
of Antidumping and Countervailing Duties on Imports of Frozen
Warmwater Shrimp from Ecuador, India, Indonesia, and the Socialist
Republic of Vietnam: Supplemental Questions,'' dated October 30,
2023 (General Issues Supplemental Questionnaire); ``Petition for the
Imposition of Countervailing Duties on Imports of Frozen Warmwater
Shrimp from the Socialist Republic of Vietnam: Additional
Supplemental Questions,'' dated October 31, 2023; ``Petition for the
Imposition of Countervailing Duties on Imports of Frozen Warmwater
Shrimp from the Socialist Republic of Vietnam: Additional
Supplemental Questions,'' dated November 8, 2023; Memorandum,
``Phone Call with Counsel to the Petitioner,'' dated November 6,
2023 (November 6 Memorandum); and Memorandum, ``Phone Call with
Counsel to the Petitioner,'' dated November 9, 2023.
\4\ See Petitioner's Letter, ``Amendment to Petitions for the
Imposition of Antidumping and Countervailing Duties on Frozen
Warmwater Shrimp from Ecuador, India, Indonesia, and Vietnam,''
dated October 26, 2023 (Scope Amendment).
\5\ See Petitioner's Letters, ``Countervailing Duty
Investigation of Frozen Warmwater Shrimp from the Socialist Republic
of Vietnam; Amendment to the Petition for the Imposition of
Countervailing Duties on Frozen Warmwater Shrimp from Vietnam,''
dated October 31, 2023; ``Petition for the Imposition of
Countervailing Duties on Frozen Warmwater Shrimp from Indonesia:
Petition Supplemental Questions Response,'' dated October 31, 2023;
``Petition for the Imposition of Countervailing Duties on Warmwater
Shrimp from India: Petition Supplemental Questions Response,'' dated
October 31, 2023; ``Petition for the Imposition of Antidumping and
Countervailing Duties on Imports of Frozen Warmwater Shrimp from
Ecuador, India, Indonesia, and Vietnam: Petition Supplemental
Questions Response,'' dated November 1, 2023 (First General Issues
Supplement); ``Petition for the Imposition of Countervailing Duties
on Frozen Warmwater Shrimp from Ecuador: Petition Supplemental
Questions Response,'' dated November 1, 2023; ``Countervailing Duty
Investigation of Frozen Warmwater Shrimp from the Socialist Republic
of Vietnam: Second Amendment to the Petition for the Imposition of
Countervailing Duties on Frozen Warmwater Shrimp from Vietnam,''
dated November 2, 2023; ``Petition for the Imposition of Antidumping
and Countervailing Duties on Imports of Frozen Warmwater Shrimp from
Ecuador, India, Indonesia, and Vietnam: Second Supplemental
Questions Response,'' dated November 8, 2023 (Second General Issues
Supplement); ``Countervailing Duty Investigation of Frozen Warmwater
Shrimp from the Socialist Republic of Vietnam: Third Amendment to
the Petition for the Imposition of Countervailing Duties on Frozen
Warmwater Shrimp from Vietnam,'' dated November 9, 2023; and
``Petition for the Imposition of Antidumping and Countervailing
Duties on Imports of Frozen Warmwater Shrimp from Ecuador, India,
Indonesia, and Vietnam: Petition 3rd Supplemental Question
Response,'' dated November 13, 2023 (Third General Issues
Supplement).
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In accordance with section 702(b)(1) of the Tariff Act of 1930, as
amended (the Act), the petitioner alleges that the Government of
Ecuador (GOE), Government of India (GOI), the
[[Page 81054]]
Government of Indonesia (GIND), and the Government of Vietnam (GOV)
(collectively, Governments) are providing countervailable subsidies,
within the meaning of sections 701 and 771(5) of the Act, to producers
of shrimp from Ecuador, India, Indonesia, and Vietnam, and that such
imports are materially injuring, or threatening material injury to, the
domestic industry producing shrimp in the United States. Consistent
with section 702(b)(1) of the Act and 19 CFR 351.202(b), for those
alleged programs on which we are initiating CVD investigations, the
Petitions were accompanied by information reasonably available to the
petitioner supporting its allegations.
Commerce finds that the petitioner filed the Petitions on behalf of
the domestic industry because the petitioner is an interested party as
defined in section 771(9)(E) of the Act.\6\ Commerce also finds that
the petitioner demonstrated sufficient industry support with respect to
the initiation of the requested CVD investigations.\7\
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\6\ See Petitions at Volume I (page 2).
\7\ See ``Determination of Industry Support for the Petitions''
section, infra.
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Periods of Investigation
Because the Petitions were filed on October 25, 2023, the periods
of investigation (POI) for Ecuador, India, Indonesia, and Vietnam are
January 1, 2022, through December 31, 2022.\8\
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\8\ See 19 CFR 351.204(b)(2).
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Scope of the Investigations
The merchandise covered by these investigations is shrimp from
Ecuador, India, Indonesia, and Vietnam. For a full description of the
scope of these investigations, see the Appendix to this notice.
Comments on the Scope of the Investigations
On October 30, 2023, Commerce requested information and
clarification from the petitioner regarding the proposed scope to
ensure that the scope language in the Petitions is an accurate
reflection of the products for which the domestic industry is seeking
relief.\9\ On October 26, 2023, and November 1, 2023, the petitioner
revised the scope.\10\ The description of merchandise covered by these
investigations, as described in the appendix to this notice, reflects
these revisions.
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\9\ See General Issues Supplemental Questionnaire.
\10\ See Scope Amendment at Exhibit 1; see also First General
Issues Supplement at 3 and Exhibit 1.
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As discussed in the Preamble to Commerce's regulations, we are
setting aside a period for interested parties to raise issues regarding
product coverage (i.e., scope).\11\ Commerce will consider all comments
received from interested parties and, if necessary, will consult with
interested parties prior to the issuance of the preliminary
determination. If scope comments include factual information, all such
factual information should be limited to public information.\12\ To
facilitate preparation of its questionnaires, Commerce requests that
all interested parties submit such comments by 5:00 p.m. Eastern Time
(ET) on December 4, 2023, which is 20 calendar days from the signature
date of this notice.\13\ Any rebuttal comments, which may include
factual information, must be filed by 5:00 p.m. ET on December 14,
2023, which is 10 calendar days from the initial comment deadline.
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\11\ See Antidumping Duties; Countervailing Duties, 62 FR 27296,
27323 (May 19, 1997) (Preamble).
\12\ See 19 CFR 351.102(b)(21) (defining ``factual
information'').
\13\ See 19 CFR 351.303(b)(1).
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Commerce requests that any factual information that the parties
consider relevant to the scope of the investigations be submitted
during this time period. However, if a party subsequently finds that
additional factual information pertaining to the scope of the
investigations may be relevant, the party may contact Commerce and
request permission to submit the additional information. All scope
comments must also be filed simultaneously on the records of the
concurrent AD and CVD investigations.
Filing Requirements
All submissions to Commerce must be filed electronically via
Enforcement and Compliance's Antidumping Duty and Countervailing Duty
Centralized Electronic Service System (ACCESS), unless an exception
applies.\14\ An electronically filed document must be received
successfully in its entirety by the time and date it is due.
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\14\ See Antidumping and Countervailing Duty Proceedings:
Electronic Filing Procedures; Administrative Protective Order
Procedures, 76 FR 39263 (July 6, 2011); see also Enforcement and
Compliance; Change of Electronic Filing System Name, 79 FR 69046
(November 20, 2014), for details of Commerce's electronic filing
requirements, effective August 5, 2011. Information on using ACCESS
can be found at <a href="https://access.trade.gov/help.aspx">https://access.trade.gov/help.aspx</a> and a handbook
can be found at <a href="https://access.trade.gov/help/Handbook_on_Electronic_Filing_Procedures.pdf">https://access.trade.gov/help/Handbook_on_Electronic_Filing_Procedures.pdf</a>.
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Consultations
Pursuant to sections 702(b)(4)(A)(i) and (ii) of the Act, Commerce
notified the Governments of the receipt of the Petitions and provided
an opportunity for consultations with respect to the Petitions.\15\
Commerce held consultations with the GOI on November 13, 2023, the GIND
on November 9, 2023, and the GOV on November 8, 2023.\16\ The GOE did
not request consultations.
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\15\ See Commerce's Letters, ``Countervailing Duty Petition on
Frozen Warmwater Shrimp from India: Invitation for Consultations to
discuss the Countervailing Duty Petition,'' dated October 26, 2023;
``Countervailing Duty Petition on Frozen Warmwater Shrimp from
Ecuador: Invitation for Consultations to discuss the Countervailing
Duty Petition,'' dated October 27, 2023; ``Countervailing Duty
Petition on Frozen Warmwater Shrimp from Indonesia: Invitation for
Consultations to discuss the Countervailing Duty Petition,'' dated
October 27, 2023; and ``Countervailing Duty Petition on Frozen
Warmwater Shrimp from the Socialist Republic of Vietnam: Invitation
for Consultations to discuss the Countervailing Duty Petition,''
dated October 27, 2023.
\16\ See Memoranda, ``Countervailing Duty Petition Regarding
Frozen Warmwater Shrimp from the Socialist Republic of Vietnam:
Consultations with the Government of Vietnam,'' dated November 8,
2023; ``Consultations with the Government of Indonesia on the
Countervailing Duty Petition Regarding Frozen Warmwater Shrimp from
Indonesia,'' dated November 9, 2023; and ``Consultations with
Officials from the Government of India,'' dated November 13, 2023.
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Determination of Industry Support for the Petitions
Section 702(b)(1) of the Act requires that a petition be filed on
behalf of the domestic industry. Section 702(c)(4)(A) of the Act
provides that a petition meets this requirement if the domestic
producers or workers who support the petition account for: (i) at least
25 percent of the total production of the domestic like product; and
(ii) more than 50 percent of the production of the domestic like
product produced by that portion of the industry expressing support
for, or opposition to, the petition. Moreover, section 702(c)(4)(D) of
the Act provides that, if the petition does not establish support of
domestic producers or workers accounting for more than 50 percent of
the total production of the domestic like product, Commerce shall: (i)
poll the industry or rely on other information in order to determine if
there is support for the petition, as required by subparagraph (A); or
(ii) determine industry support using a statistically valid sampling
method to poll the ``industry.''
Section 771(4)(A) of the Act defines the ``industry'' as the
producers as a whole of a domestic like product. In investigations
involving processed agricultural products, the statute allows Commerce
to also include growers or producers of the raw agricultural product
within the definition of the domestic industry.\17\ Thus, to determine
[[Page 81055]]
whether a petition has the requisite industry support, the statute
directs Commerce to look to producers and workers who produce the
domestic like product. The U.S. International Trade Commission (ITC),
which is responsible for determining whether ``the domestic industry''
has been injured, must also determine what constitutes a domestic like
product in order to define the industry. While both Commerce and the
ITC apply the same statutory definition regarding the domestic like
product,\18\ they do so for different purposes and pursuant to a
separate and distinct authority. In addition, Commerce's determination
is subject to limitations of time and information. Although this may
result in different definitions of the like product, such differences
do not render the decision of either agency contrary to law.\19\
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\17\ See section 771(4)(E) of the Act. For a full discussion of
this provision of the Act and Commerce's analysis, see
Countervailing Duty Investigation Initiation Checklists: Frozen
Warmwater Shrimp from Ecuador, India, Indonesia, and the Socialist
Republic of Vietnam (Country-Specific CVD Initiation Checklists), at
Attachment II, Analysis of Industry Support for the Antidumping and
Countervailing Duty Petitions Covering Frozen Warmwater Shrimp from
Ecuador, India, Indonesia, and the Socialist Republic of Vietnam
(Attachment II). These checklists are dated concurrently with this
notice and are on file electronically via ACCESS.
\18\ See section 771(10) of the Act.
\19\ See USEC, Inc. v. United States, 132 F. Supp. 2d 1, 8 (CIT
2001) (citing Algoma Steel Corp., Ltd. v. United States, 688 F.
Supp. 639, 644 (CIT 1988), aff'd 865 F.2d 240 (Fed. Cir. 1989)).
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Section 771(10) of the Act defines the domestic like product as ``a
product which is like, or in the absence of like, most similar in
characteristics and uses with, the article subject to an investigation
under this title.'' Thus, the reference point from which the domestic
like product analysis begins is ``the article subject to an
investigation'' (i.e., the class or kind of merchandise to be
investigated, which normally will be the scope as defined in the
petition).
With regard to the domestic like product, the petitioner does not
offer a definition of the domestic like product distinct from the scope
of the investigations.\20\ Based on our analysis of the information
submitted on the record, we have determined that shrimp, as described
in the domestic like product definition set forth in the Petitions,
constitutes a single domestic like product, and we have analyzed
industry support in terms of that domestic like product.\21\
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\20\ See Petitions at Volume I (pages 2-5 and Exhibits 1-2
through I-4 (containing Certain Frozen or Canned Warmwater Shrimp
and Prawns from Brazil, China, Ecuador, India, Thailand, and
Vietnam, Inv. No. 731-TA-1063-1068 (Preliminary), USITC Pub. 3672
(February 2004) at 13-14; Certain Frozen or Canned Warmwater Shrimp
and Prawns from Brazil, China, Ecuador, India, Thailand, and
Vietnam, Inv. No. 731-TA-1063-1068, USITC Pub. 3478 (January 2005)
at 6; Frozen Warmwater Shrimp From China, Ecuador, India, Indonesia,
Malaysia, Thailand, and Vietnam, Inv. Nos. 701-TA-491-497
(Preliminary), USITC Pub. 4830 (February 2013) at 8-10; Frozen
Warmwater Shrimp from China, Ecuador, India, Malaysia, and Vietnam,
Inv. Nos. 701-TA-491-493, 495, and 497 (Final), USITC Pub. 4429
(October 2013) at 9; and Frozen Warmwater Shrimp from China, India,
Thailand, and Vietnam, Inv. No. 731-TA-1064 and 1066-1068, USITC
Pub. 5432 (June 2023) (Shrimp 2023 Sunset) at 14-15, I-43, I-44,
III-19, and III-30).
\21\ For a discussion of the domestic like product analysis as
applied to these cases and information regarding industry support,
see Country-Specific CVD Initiation Checklists at Attachment II.
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In determining whether the petitioner has standing under section
702(c)(4)(A) of the Act, we considered the industry support data
contained in the Petitions with reference to the domestic like product
as defined in the ``Scope of the Investigations,'' in the appendix to
this notice.
To establish industry support for fresh shrimp and frozen shrimp,
the petitioner provided the 2022 production of ASPA members, as well as
the 2022 production of frozen shrimp for three additional processors
that support the Petitions.\22\ In addition, the petitioner provided
letters of support from over 800 shrimp fishermen, expressing support
for the Petitions and establishing each vessel's 2022 production
(harvested quantity) of fresh shrimp.\23\ On October 27, 2023, and
November 6, 9, and 14, 2023, we received submissions from the Ad Hoc
Shrimp Trade Action Committee (AHSTAC) providing letters of support
from six additional processors and 49 additional shrimp fishermen.\24\
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\22\ See Petitions at Volume I (page 7-8 and Exhibits I-9 and I-
10); see also First General Issues Supplement at Exhibits 4 and 10-
13; and Second General Issues Supplement at 2-4 and Exhibits 1 and
4.
\23\ See Petitions at Volume I (pages 7-8 and Exhibit I-11); see
also First General Issues Supplement at 7-8 and Exhibits 10-12; and
Second General Issues Supplement at 3-4 and Exhibits 1 and 4.
\24\ See AHSTAC's Letters, ``Additional Support for the
Petitions,'' dated October 27, 2023; ``Additional Support for the
Petitions,'' dated November 6, 2023; ``Further Additional Support
for the Petitions,'' dated November 6, 2023; ``Additional Support
for Petitions,'' dated November 9, 2023; and ``Additional Support
for Petitions,'' dated November 14, 2023 (collectively, AHSTAC
Letters).
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To establish total production of fresh shrimp, the petitioner
relied on 2022 U.S. commercial landings data for fresh shrimp reported
for the Gulf and South Atlantic regions in 2022 reported by the
National Oceanic and Atmospheric Administration's (NOAA's) National
Marine Fisheries Service (NFMS) Fisheries One Stop Shop (FOSS) database
and added an estimate for farmed shrimp based on information from the
ITC's publication for Shrimp 2023 Sunset to arrive at total U.S.
production of fresh shrimp.\25\ Because data on the production of
frozen shrimp were not available from NOAA, to establish total
production of frozen shrimp, the petitioner relied on the same NOAA
NFMS FOSS data on U.S. commercial landings in the Gulf and South
Atlantic regions, as well as the same farmed shrimp estimate from the
ITC's 2023 sunset review, and added total 2022 U.S. imports of fresh
shrimp, as reported in official import statistics, to account for
imported fresh shrimp that is further processed into frozen shrimp in
the United States.\26\ To establish total production of fresh shrimp
and frozen shrimp by the U.S. shrimp industry, the petitioner combined
the total 2022 U.S. production of fresh shrimp with the total 2022 U.S.
production of processed shrimp.\27\ To establish industry support, the
petitioner provided three separate calculations comparing the
supporters' production of frozen shrimp, fresh shrimp, and combined
frozen and fresh shrimp to the respective totals for the entire U.S.
industry.\28\ We relied on data provided by the petitioner and AHSTAC
for purposes of measuring industry support.\29\
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\25\ See Petitions at Volume I (page 6 and Exhibit I-4
(containing Shrimp 2023 Sunset at IV-31 and IV-32) and I-8); see
also First General Issues Supplement at 5-6 and Exhibits 5 and 9;
and Second General Issues Supplement at Exhibit 1.
\26\ See Petitions at Volume I (pages 6-8 and Exhibits I-4, I-7,
and I-8); see also First General Issues Supplement at Exhibits 5-8;
and Second General Issues Supplement at 2 and Exhibits 1-3.
\27\ See Petitions at Volume I (page 8); see also First General
Issues Supplement at Exhibit 8; and Second General Issues Supplement
at 2 and Exhibit 1.
\28\ See Petitions at Volume I (page 8); see also First General
Issues Supplement at Exhibit 8; and Second General Issues Supplement
at 2-4 and Exhibit 1.
\29\ See Petitions at Volume I (pages 6-8 and Exhibits I-4
(containing Shrimp 2023 Sunset at IV-31 and IV-32) and I-5 through
I-11); see also First General Issues Supplement at 3-9 and Exhibits
2-13; Second General Issues Supplement at 2-4 and Exhibits 1-4; and
AHSTAC Letters. For further discussion, see Attachment II of the
Country-Specific CVD Initiation Checklists.
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Our review of the data provided in the Petitions, the First General
Issues Supplement, the Second General Issues Supplement, the AHSTAC
Letters, the Third General Issues Supplement, and other information
readily available to Commerce indicates that the petitioner has
established industry support for the Petitions.\30\ First, the
Petitions established support from domestic producers (or workers)
accounting for more than 50 percent of the total production of the
domestic like product and, as such, Commerce is not required to take
further action in order to
[[Page 81056]]
evaluate industry support (e.g., polling).\31\ Second, the domestic
producers (or workers) have met the statutory criteria for industry
support under section 702(c)(4)(A)(i) of the Act because the domestic
producers (or workers) who support the Petitions account for at least
25 percent of the total production of the domestic like product.\32\
Finally, the domestic producers (or workers) have met the statutory
criteria for industry support under section 702(c)(4)(A)(ii) of the Act
because the domestic producers (or workers) who support the Petitions
account for more than 50 percent of the production of the domestic like
product produced by that portion of the industry expressing support
for, or opposition to, the Petitions.\33\ Accordingly, Commerce
determines that the Petitions were filed on behalf of the domestic
industry within the meaning of section 702(b)(1) of the Act.\34\
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\30\ See Attachment II of the Country-Specific CVD Initiation
Checklists.
\31\ Id.; see also section 702(c)(4)(D) of the Act.
\32\ See Attachment II of the Country-Specific CVD Initiation
Checklists.
\33\ Id.
\34\ Id.
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Injury Test
Because Ecuador, India, Indonesia, and Vietnam are ``Subsidies
Agreement Countries'' within the meaning of section 701(b) of the Act,
section 701(a)(2) of the Act applies to these investigations.
Accordingly, the ITC must determine whether imports of the subject
merchandise from Ecuador, India, Indonesia, and/or Vietnam materially
injure, or threaten material injury to, a U.S. industry.
Allegations and Evidence of Material Injury and Causation
The petitioner alleges that imports of the subject merchandise are
benefitting from countervailable subsidies and that such imports are
causing, or threaten to cause, material injury to the U.S. industry
producing the domestic like product. In addition, the petitioner
alleges that subject imports from India, Indonesia, and Vietnam exceed
the negligibility threshold provided for under section 771(24)(A) of
the Act.\35\ In CVD petitions, section 771(24)(B) of the Act provides
that imports of subject merchandise from developing and least-developed
countries must exceed the negligibility threshold of four percent. The
petitioner also demonstrates that subject imports from Ecuador, which
has been designated as a developing country under section 771(36)(A) of
the Act,\36\ exceed the negligibility threshold of four percent.\37\
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\35\ See Petitions at Volume I (page 15 and Exhibit I-14).
\36\ See Designations of Developing and Least-Developed
Countries under the Countervailing Duty Law, 85 FR 7613, 7615
(February 10, 2020).
\37\ See Petitions at Volume I (page 15 and Exhibit I-14).
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The petitioner contends that the industry's injured condition is
illustrated by the significant volume of subject imports; declining
market share; underselling and price depression and/or suppression;
lost sales and revenues; inventory overhang; and negative impact on the
production, shipments, and financial performance.\38\ We assessed the
allegations and supporting evidence regarding material injury, threat
of material injury, causation, as well as negligibility, and we have
determined that these allegations are properly supported by adequate
evidence and meet the statutory requirements for initiation.\39\
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\38\ Id. at Volume I (pages 14-30 and Exhibits I-4, I-8, I-9, I-
14, I-17, and I-18); see also Second General Issues Supplement at 5
and Exhibit 5.
\39\ See Country-Specific CVD Initiation Checklists at
Attachment III, Analysis of Allegations and Evidence of Material
Injury and Causation for the Antidumping and Countervailing Duty
Petitions Covering Frozen Warmwater Shrimp from Ecuador, India,
Indonesia, and the Socialist Republic of Vietnam.
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Initiation of CVD Investigations
Based upon the examination of the Petitions and supplemental
responses, we find that they meet the requirements of section 702 of
the Act. Therefore, we are initiating CVD investigations to determine
whether imports of shrimp from Ecuador, India, Indonesia, and Vietnam
benefit from countervailable subsidies conferred by the GOE, GOI, GIND,
and GOV. In accordance with section 703(b)(1) of the Act and 19 CFR
351.205(b)(1), unless postponed, we will make our preliminary
determinations no later than 65 days after the date of these
initiations.
Ecuador
Based on our review of the Petitions, we find that there is
sufficient information to initiate a CVD investigation on 15 of the 22
programs alleged by the petitioner. For a full discussion of the basis
for our decision to initiate on each program, see the Ecuador CVD
Initiation Checklist. A public version of the initiation checklist for
this investigation is available on ACCESS.
India
Based on our review of the Petitions, we find that there is
sufficient information to initiate a CVD investigation on all 19 of the
programs alleged by the petitioner. For a full discussion of the basis
for our decision to initiate on each program, see the India CVD
Initiation Checklist. A public version of the initiation checklist for
this investigation is available on ACCESS.
Indonesia
Based on our review of the Petitions, we find that there is
sufficient information to initiate a CVD investigation on 15 of the 16
programs alleged by the petitioner. For a full discussion of the basis
for our decision to initiate on each program, see the Indonesia CVD
Initiation Checklist. A public version of the initiation checklist for
this investigation is available on ACCESS.
Vietnam
Based on our review of the Petitions, we find that there is
sufficient information to initiate a CVD investigation on all 40 of the
programs alleged by the petitioner. For a full discussion of the basis
for our decision to initiate on each program, see the Vietnam CVD
Initiation Checklist. A public version of the initiation checklist for
this investigation is available on ACCESS.
Respondent Selection
The petitioner identified 227 companies in Ecuador, 675 companies
in India, 276 companies in Indonesia, and 1046 companies in Vietnam as
producers and/or exporters of shrimp.\40\ Commerce intends to follow
its standard practice in CVD investigations and calculate company-
specific subsidy rates in these investigations. In the event that
Commerce determines that the number of companies is large and it cannot
individually examine each company based upon Commerce's resources,
where appropriate, Commerce intends to select mandatory respondents
based on U.S. Customs and Border Protection (CBP) data for U.S. imports
of shrimp from Ecuador, India, Indonesia, and Vietnam during the POI
under the appropriate Harmonized Tariff Schedule of the United States
subheadings listed in the ``Scope of the Investigations'' in the
Appendix.
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\40\ See Petitions at Volume I at 12 (Exhibit I-16).
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On November 13, 2023, Commerce released CBP data on U.S. imports of
shrimp from Ecuador, India, Indonesia, and Vietnam, under
administrative protective order (APO) to all parties with access to
information protected by APO and indicated that interested parties
wishing to comment on the CBP data and/or respondent selection must do
so within three business days after
[[Page 81057]]
the publication date of the notice of initiation of these
investigations.\41\ Commerce will not accept rebuttal comments
regarding the CBP data or respondent selection.
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\41\ See Memoranda, ``Frozen Warmwater Shrimp from Ecuador
Countervailing Duty Petition: Release of U.S. Customs and Border
Protection Entry Data,'' dated November 13, 2023; ``Frozen Warmwater
Shrimp from India Countervailing Duty Petition: Release of U.S.
Customs and Border Protection Entry Data,'' dated November 13, 2023;
``Frozen Warmwater Shrimp from Indonesia Countervailing Duty
Petition: Release of U.S. Customs and Border Protection Entry
Data,'' dated November 13, 2023; and ``Frozen Warmwater Shrimp from
the Socialist Republic of Vietnam Countervailing Duty Petition:
Release of U.S. Customs and Border Protection Entry Data,'' dated
November 13, 2023.
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Distribution of Copies of the Petitions
In accordance with section 702(b)(4)(A) of the Act and 19 CFR
351.202(f), a copy of the public version of the Petitions has been
provided to the GOE, GOI, GIND, and GOV via ACCESS. To the extent
practicable, we will attempt to provide a copy of the public version of
the Petitions to each exporter named in the Petitions, as provided
under 19 CFR 351.203(c)(2).
ITC Notification
Commerce will notify the ITC of its initiation, as required by
section 702(d) of the Act.
Preliminary Determination by the ITC
The ITC will preliminarily determine, within 45 days after the date
on which the Petitions was filed, whether there is a reasonable
indication that imports of shrimp from Ecuador, India, Indonesia, and/
or Vietnam are materially injuring, or threatening material injury to,
a U.S. industry.\42\ A negative ITC determination for any country will
result in the investigation being terminated with respect to that
country.\43\ Otherwise, these CVD investigations will proceed according
to statutory and regulatory time limits.
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\42\ See section 703(a)(1) of the Act.
\43\ Id.
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Submission of Factual Information
Factual information is defined in 19 CFR 351.102(b)(21) as: (i)
evidence submitted in response to questionnaires; (ii) evidence
submitted in support of allegations; (iii) publicly available
information to value factors under 19 CFR 351.408(c) or to measure the
adequacy of remuneration under 19 CFR 351.511(a)(2); (iv) evidence
placed on the record by Commerce; and (v) evidence other than factual
information described in (i)-(iv). Section 351.301(b) of Commerce's
regulations requires any party, when submitting factual information, to
specify under which subsection of 19 CFR 351.102(b)(21) the information
is being submitted \44\ and, if the information is submitted to rebut,
clarify, or correct factual information already on the record, to
provide an explanation identifying the information already on the
record that the factual information seeks to rebut, clarify, or
correct.\45\ Time limits for the submission of factual information are
addressed in 19 CFR 351.301, which provides specific time limits based
on the type of factual information being submitted. Interested parties
should review the regulations prior to submitting factual information
in these investigations.
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\44\ See 19 CFR 351.301(b).
\45\ See 19 CFR 351.301(b)(2).
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Extensions of Time Limits
Parties may request an extension of time limits before the
expiration of a time limit established under 19 CFR 351.301, or as
otherwise specified by Commerce. In general, an extension request will
be considered untimely if it is filed after the expiration of the time
limit established under 19 CFR 351.301, or as otherwise specified by
Commerce.\46\ For submissions that are due from multiple parties
simultaneously, an extension request will be considered untimely if it
is filed after 10:00 a.m. ET on the due date. Under certain
circumstances, we may elect to specify a different time limit by which
extension requests will be considered untimely for submissions which
are due from multiple parties simultaneously. In such a case, Commerce
will inform parties in a letter or memorandum of the deadline
(including a specified time) by which extension requests must be filed
to be considered timely. An extension request must be made in a
separate, standalone submission; under limited circumstances we will
grant untimely filed requests for the extension of time limits. Parties
should review Commerce's regulations concerning the extension of time
limits and the Time Limits Final Rule prior to submitting factual
information in these investigations.\47\
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\46\ See 19 CFR 351.302.
\47\ See 19 CFR 351.301; see also Extension of Time Limits;
Final Rule, 78 FR 57790 (September 20, 2013) (Time Limits Final
Rule), available at <a href="https://www.gpo.gov/fdsys/pkg/FR-2013-09-20/html/2013-22853.htm">https://www.gpo.gov/fdsys/pkg/FR-2013-09-20/html/2013-22853.htm</a>.
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Certification Requirements
Any party submitting factual information in an AD or CVD proceeding
must certify to the accuracy and completeness of that information.\48\
Parties must use the certification formats provided in 19 CFR
351.303(g).\49\ Commerce intends to reject factual submissions if the
submitting party does not comply with the applicable certification
requirements.
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\48\ See section 782(b) of the Act.
\49\ See Certification of Factual Information to Import
Administration During Antidumping and Countervailing Duty
Proceedings, 78 FR 42678 (July 17, 2013) (Final Rule); see also
frequently asked questions regarding the Final Rule, available at
<a href="https://enforcement.trade.gov/tlei/notices/factual_info_final_rule_FAQ_07172013.pdf">https://enforcement.trade.gov/tlei/notices/factual_info_final_rule_FAQ_07172013.pdf</a>.
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Notification to Interested Parties
Interested parties must submit applications for disclosure under
administrative protective order in accordance with 19 CFR 351.305.
Parties wishing to participate in these investigations should ensure
that they meet the requirements of 19 CFR 351.103(d) (e.g., by filing
the required letters of appearance). Note that Commerce has modified
its regulations to make permanent certain changes to its service
procedures that were adopted on a temporary basis due to COVID-19, as
well as to make additional clarifications and corrections to its AD/CVD
regulations.\50\
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\50\ Effective October 30, 2023, these changes apply to all AD/
CVD proceedings that are ongoing on the effective date and all AD/
CVD proceedings initiated on or after the effective date. See
Administrative Protective Order, Service, and Other Procedures in
Antidumping and Countervailing Duty Proceedings, 88 FR 67069
(September 29, 2023).
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This notice is issued and published pursuant to sections 702 and
777(i) of the Act, and 19 CFR 351.203(c).
Dated: November 14, 2023.
Abdelali Elouaradia,
Deputy Assistant Secretary for Enforcement and Compliance.
Appendix--Scope of the Investigations
The scope of these investigations includes certain frozen
warmwater shrimp and prawns whether wild-caught (ocean harvested) or
farm-raised (produced by aquaculture), head-on or head-off, shell-on
or peeled, tail-on or tail-off, deveined or not deveined, cooked or
raw, or otherwise processed in frozen form. ``Tails'' in this
context means the tail fan, which includes the telson and the
uropods.
The frozen warmwater shrimp and prawn products included in the
scope, regardless of definitions in the Harmonized Tariff Schedule
of the United States (HTSUS), are products which are processed from
warmwater shrimp and prawns through freezing and which are sold in
any count size.
The products described above may be processed from any species
of warmwater shrimp and prawns. Warmwater shrimp and prawns are
generally classified in, but are not limited to, the Penaeidae
family. Some examples of the farmed and wild-caught warmwater
species include, but are not
[[Page 81058]]
limited to, whiteleg shrimp (Penaeus vannemei), banana prawn
(Penaeus merguiensis), fleshy prawn (Penaeus chinensis), giant river
prawn (Macrobrachium rosenbergii), giant tiger prawn (Penaeus
monodon), redspotted shrimp (Penaeus brasiliensis), southern brown
shrimp (Penaeus subtilis), southern pink shrimp (Penaeus notialis),
southern rough shrimp (Trachypenaeus curvirostris), southern white
shrimp (Penaeus schmitti), blue shrimp (Penaeus stylirostris),
western white shrimp (Penaeus occidentalis), and Indian white prawn
(Penaeus indicus).
Frozen shrimp and prawns that are packed with marinade, spices
or sauce are included in the scope. In addition, food preparations,
which are not ``prepared meals,'' that contain more than 20 percent
by weight of shrimp or prawn are also included in the scope.
Excluded from the scope are: (1) breaded shrimp and prawns
(HTSUS subheading 1605.21.1020); (2) shrimp and prawns generally
classified in the Pandalidae family and commonly referred to as
coldwater shrimp, in any state of processing; (3) fresh shrimp and
prawns whether shell-on or peeled (HTSUS subheadings 0306.36.0020
and 0306.36.0040); (4) shrimp and prawns in prepared meals (HTSUS
subheadings 1605.21.0500 and 1605.29.0500); (5) dried shrimp and
prawns; (6) canned warmwater shrimp and prawns (HTSUS subheading
1605.29.1040); and (7) certain battered shrimp. Battered shrimp is a
shrimp-based product: (1) that is produced from fresh (or thawed-
from-frozen) and peeled shrimp; (2) to which a ``dusting'' layer of
rice or wheat flour of at least 95 percent purity has been applied;
(3) with the entire surface of the shrimp flesh thoroughly and
evenly coated with the flour; (4) with the non-shrimp content of the
end product constituting between four and ten percent of the
product's total weight after being dusted, but prior to being
frozen; and (5) that is subjected to individually quick frozen (IQF)
freezing immediately after application of the dusting layer. When
dusted in accordance with the definition of dusting above, the
battered shrimp product is also coated with a wet viscous layer
containing egg and/or milk, and par-fried.
The products covered by the scope are currently classified under
the following HTSUS subheadings: 0306.17.0004, 0306.17.0005,
0306.17.0007, 0306.17.0008, 0306.17.0010, 0306.17.0011,
0306.17.0013, 0306.17.0014, 0306.17.0016, 0306.17.0017,
0306.17.0019, 0306.17.0020, 0306.17.0022, 0306.17.0023,
0306.17.0025, 0306.17.0026, 0306.17.0028, 0306.17.0029,
0306.17.0041, 0306.17.0042, 1605.21.1030, and 1605.29.1010. These
HTSUS subheadings are provided for convenience and for customs
purposes only and are not dispositive, but rather the written
description of the scope is dispositive.
[FR Doc. 2023-25735 Filed 11-20-23; 8:45 am]
BILLING CODE 3510-DS-P
</pre></body>
</html>Indexed from Federal Register on November 21, 2023.
This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.