Notice2023-25736
Frozen Warmwater Shrimp From Ecuador and Indonesia: Initiation of Less-Than-Fair-Value 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 81043-81048]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2023-25736]
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DEPARTMENT OF COMMERCE
International Trade Administration
[A-331-805, A-560-842]
Frozen Warmwater Shrimp From Ecuador and Indonesia: Initiation of
Less-Than-Fair-Value Investigations
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
DATES: Applicable November 14, 2023.
FOR FURTHER INFORMATION CONTACT: Kyle Clahane (Ecuador) and Nicolas
Mayora (Indonesia), AD/CVD Operations, Offices III and V, respectively,
Enforcement and Compliance, International Trade Administration, U.S.
Department of Commerce, 1401 Constitution Avenue NW, Washington, DC
20230; telephone: (202) 482-5449 and (202) 482-3053, respectively.
SUPPLEMENTARY INFORMATION:
The Petitions
On October 25, 2023, the U.S. Department of Commerce (Commerce)
received antidumping duty (AD) petitions concerning imports of frozen
warmwater shrimp (shrimp) filed in proper form on behalf of the
American Shrimp Processors Association (ASPA or the petitioner).\1\
These AD petitions were accompanied by countervailing duty (CVD)
petitions concerning imports of shrimp from Ecuador, India, Indonesia,
and the Socialist Republic of Vietnam.\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 Vietnam,'' dated October 25,
2023 (the Petitions).
\2\ Id.
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On October 27 and 30, 2023, and November 6 and 9, 2023, Commerce
requested supplemental information pertaining to certain aspects of the
Petitions in separate supplemental questionnaires.\3\ The petitioner
filed an amendment to the proposed scope on October 26, 2023, and
responses to the supplemental questionnaires on October 31, 2023, and
November 1, 8, and 13, 2023.\4\
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\3\ See Commerce's Letters, ``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 Questionnaire); and Country-Specific Supplemental
Questionnaires: Ecuador Supplemental and Indonesia Supplemental,
dated October 27, 2023; see also Memoranda, ``Phone Call with
Counsel to the Petitioner,'' dated November 6, 2023; and ``Phone
Call with Counsel to the Petitioner,'' dated November 9, 2023.
\4\ See Petitioner's Letters, ``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); ``Petition Supplemental
Questions Response,'' dated November 1, 2023 (First General Issues
Supplement); ``Second Supplemental Questions Response,'' dated
November 8, 2023 (Second General Issues Supplement); ``Petition 3rd
Supplemental Question Response,'' dated November 13, 2023 (Third
General Issues Supplement); Country-Specific First Supplemental
Responses, dated October 31, 2023; and Country-Specific Second
Supplemental Responses, dated November 8, 2023.
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In accordance with section 732(b) of the Tariff Act of 1930, as
amended (the Act), the petitioner alleges that imports of shrimp from
Ecuador and Indonesia are being, or are likely to be, sold in the
United States at less than fair value (LTFV) within the meaning of
section 731 of the Act, and that imports of such products are
materially injuring, or threatening material injury to, the shrimp
industry in the United States. Consistent with section 732(b)(1) of the
Act, the Petitions are 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.\5\ Commerce also finds that
the petitioner demonstrated sufficient industry support for the
initiation of the requested LTFV investigations.\6\
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\5\ See Petitions at Volume I (page 2).
\6\ See, infra, section on ``Determination of Industry Support
for the Petitions.''
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Periods of Investigation
Because the Petitions were filed on October 25, 2023, pursuant to
19 CFR 351.204(b)(1), the period of investigation (POI) for the Ecuador
and Indonesia LTFV investigations is October 1, 2022, through September
30, 2023.
Scope of the Investigations
The product covered by these investigations is shrimp from Ecuador
and Indonesia. 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.\7\ On October 26 and November 1, 2023, the petitioner provided
clarifications and revised the scope.\8\ The description of merchandise
covered by these investigations, as described in the appendix to this
notice, reflects these clarifications.
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\7\ See General Issues Questionnaire.
\8\ 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 parties to raise issues regarding product
coverage (i.e., scope).\9\ Commerce will consider all scope comments
received and, if necessary, will consult with interested parties prior
to the issuance of the preliminary determinations. If scope comments
include factual information,\10\ all such factual information should be
limited to public information. To facilitate preparation of its
questionnaires, Commerce requests that scope comments be submitted by
5:00 p.m. Eastern Time (ET) on December 4, 2023, which is 20 calendar
days from the signature date of this notice. Any rebuttal comments,
which may include factual information, must be filed by
[[Page 81044]]
5:00 p.m. ET on December 14, 2023, which is 10 calendar days from the
initial comment deadline.
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\9\ See Antidumping Duties; Countervailing Duties, Final Rule,
62 FR 27296, 27323 (May 19, 1997) (Preamble); see also 19 CFR
351.312.
\10\ See 19 CFR 351.102(b)(21) (defining ``factual
information'').
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Commerce requests that any factual information that parties
consider relevant to the scope of these investigations be submitted
during that period. However, if a party subsequently finds that
additional factual information pertaining to the scope of the
investigations may be relevant, the party must contact Commerce and
request permission to submit the additional information. All such
submissions must be filed on the records of each of the concurrent LTFV
and CVD investigations.
Filing Requirements
All submissions to Commerce must be filed electronically using
Enforcement and Compliance's Antidumping Duty and Countervailing Duty
Centralized Electronic Service System (ACCESS), unless an exception
applies.\11\ An electronically filed document must be received
successfully in its entirety by the time and date it is due.
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\11\ 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 help 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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Comments on Product Characteristics
Commerce is providing interested parties an opportunity to comment
on the appropriate physical characteristics of shrimp to be reported in
response to Commerce's AD questionnaires. This information will be used
to identify the key physical characteristics of the subject merchandise
in order to report the relevant costs of production (COP) accurately,
as well as to develop appropriate product comparison criteria.
Subsequent to the publication of this notice, Commerce intends to
release a proposed list of physical characteristics and product-
comparison criteria, and interested parties may provide any information
or comments that they feel are relevant to the development of an
accurate list of physical characteristics. Specifically, they may
provide comments as to which characteristics are appropriate to use as:
(1) general product characteristics; and (2) product comparison
criteria. We note that it is not always appropriate to use all product
characteristics as product comparison criteria. We base product
comparison criteria on meaningful commercial differences among
products. In other words, although there may be some physical product
characteristics utilized by manufacturers to describe shrimp, it may be
that only a select few product characteristics take into account
commercially meaningful physical characteristics. In addition,
interested parties may comment on the order in which the physical
characteristics should be used in matching products. Generally,
Commerce attempts to list the most important physical characteristics
first and the least important characteristics last.
In order to consider the suggestions of interested parties in
developing and issuing the AD questionnaires, all product
characteristics comments must be filed by 5:00 p.m. ET on December 4,
2023, which is 20 calendar days from the signature date of this
notice.\12\ Any rebuttal comments must be filed by 5:00 p.m. ET on
December 14, 2023, which is 10 calendar days from the initial comment
deadline. All comments and submissions to Commerce must be filed
electronically using ACCESS, as explained above, on the record of each
of the LTFV investigations.
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\12\ See 19 CFR 351.303(b)(1).
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Determination of Industry Support for the Petitions
Section 732(b)(1) of the Act requires that a petition be filed on
behalf of the domestic industry. Section 732(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 732(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.\13\ Thus, to determine
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 must apply the same statutory definition regarding the domestic
like product,\14\ 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.\15\
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\13\ See section 771(4)(E) of the Act. For a full discussion of
this provision of the Act and Commerce's analysis, see Antidumping
Duty Investigation Initiation Checklists: Frozen Warmwater Shrimp
from Ecuador and Indonesia (Ecuador AD Initiation Checklist and
Indonesia AD Initiation Checklist, collectively Country-Specific AD
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.
\14\ See section 771(10) of the Act.
\15\ 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.\16\ Based on our analysis
[[Page 81045]]
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.\17\
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\16\ 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).
\17\ For a discussion of the domestic like product analysis as
applied to these cases and information regarding industry support,
see Attachment II of the Country-Specific AD Initiation Checklists.
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In determining whether the petitioner has standing under section
732(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 Petitions and 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.\18\ 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.\19\
On October 27 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.\20\
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\18\ 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.
\19\ 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.
\20\ See AHSTAC's Letters, ``Additional Support for the
Petitions,'' dated October 27, 2023; ``Additional Support for the
Petitions,'' dated November 6, 2023; and ``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) 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.\21\ 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.\22\ 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.\23\ 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.\24\ We relied on data provided by the petitioner and AHSTAC
for purposes of measuring industry support.\25\
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\21\ 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.
\22\ 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.
\23\ 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.
\24\ 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.
\25\ 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.\26\ 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 evaluate industry support (e.g.,
polling).\27\ Second, the domestic producers (or workers) have met the
statutory criteria for industry support under section 732(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.\28\ Finally, the domestic producers (or
workers) have met the statutory criteria for industry support under
section 732(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.\29\ Accordingly, Commerce determines that the Petitions were
filed on behalf of the domestic industry within the meaning of section
732(b)(1) of the Act.\30\
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\26\ See Attachment II of the Country-Specific AD Initiation
Checklists.
\27\ Id.; see also section 732(c)(4)(D) of the Act.
\28\ See Attachment II of the Country-Specific AD Initiation
Checklists.
\29\ Id.
\30\ Id.
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Allegations and Evidence of Material Injury and Causation
The petitioner alleges that the U.S. industry producing the
domestic like product is being materially injured, or is threatened
with material injury, by reason of the imports of the subject
merchandise sold at LTFV. In addition, the petitioner alleges that
subject imports exceed the negligibility threshold provided for under
section 771(24)(A) of the Act.\31\
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\31\ 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 a significant volume of subject imports; reduced market
share; underselling and price depression and/or suppression; lost sales
and revenues; inventory overhang; and negative impact on production,
shipments, and financial performance.\32\ 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 substantial evidence,
and
[[Page 81046]]
meet the statutory requirements for initiation.\33\
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\32\ See Petitions 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.
\33\ See Country-Specific AD 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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Allegations of Sales at LTFV
The following is a description of the allegations of sales at LTFV
upon which Commerce based its decision to initiate LTFV investigations
of imports of shrimp from Ecuador and Indonesia. The sources of data
for the deductions and adjustments relating to U.S. price and normal
value (NV) are discussed in greater detail in the Country-Specific AD
Initiation Checklists.
U.S. Price
For Ecuador and Indonesia, the petitioner based export price (EP)
on the average unit values (AUVs) derived from official import
statistics for imports of shrimp from Ecuador and Indonesia into the
United States during the POI. The petitioner made certain adjustments
to U.S. price to calculate a net ex-factory U.S. price, where
applicable.\34\
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\34\ See Country-Specific AD Initiation Checklists.
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Normal Value <SUP>35</SUP>
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\35\ In accordance with section 773(b)(2) of the Act, for the
Ecuador and Indonesia LTFV investigations, Commerce will request
information necessary to calculate the constructed value (CV) and
COP to determine whether there are reasonable grounds to believe or
suspect that sales of the foreign like product have been made at
prices that represent less than the COP of the product.
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For Ecuador, the petitioner was unable to obtain prices for shrimp
produced in Ecuador and sold or offered for sale in the home market or
in third country markets to use as a basis for NV.\36\ Therefore, for
Ecuador, the petitioner calculated NV based on CV.\37\ For further
discussion of CV, see the section ``Normal Value Based on Constructed
Value,'' below.
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\36\ See Ecuador AD Initiation Checklist.
\37\ Id.
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For Indonesia, the petitioner based NV on home market prices
obtained through market research for shrimp produced in and sold, or
offered for sale, in Indonesia during the POI.\38\
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\38\ See Indonesia AD Initiation Checklist.
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Normal Value Based on Constructed Value
As noted above, for Ecuador, the petitioner stated it was unable to
obtain home-market or third-country prices for shrimp to use as the
basis for NV.\39\ Therefore, for Ecuador, the petitioner based NV on
CV.\40\
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\39\ See Ecuador AD Initiation Checklist.
\40\ Id.
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Pursuant to section 773(e) of the Act, the petitioner calculated CV
as the sum of the cost of manufacturing, selling, general, and
administrative (SG&A) expenses, financial expenses, and profit.\41\ In
calculating the cost of manufacturing, the petitioner relied on the
production experience and input consumption rates of a U.S. producer of
shrimp, valued using publicly available information applicable to
Ecuador.\42\ In calculating SG&A expenses, financial expenses, and
profit ratios (where applicable), the petitioners relied on the
calendar year 2022 financial statements of an Ecuadorian producer of
identical merchandise.\43\
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\41\ Id.
\42\ Id.
\43\ Id.
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Fair Value Comparisons
Based on the data provided by the petitioner, there is reason to
believe that imports of shrimp from Ecuador and Indonesia are being, or
are likely to be, sold in the United States at LTFV. Based on
comparisons of EP to NV in accordance with sections 772 and 773 of the
Act, the estimated dumping margins for shrimp for each of the countries
covered by this initiation are as follows: (1) Ecuador--9.55 to 25.82
percent; and (2) Indonesia--26.13 to 33.95 percent.\44\
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\44\ See Indonesia AD Initiation Checklist; and Ecuador AD
Initiation Checklist.
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Initiation of LTFV Investigations
Based upon the examination of the Petitions and supplemental
responses, we find that they meet the requirements of section 732 of
the Act. Therefore, we are initiating LTFV investigations to determine
whether imports of shrimp from Ecuador and Indonesia are being, or are
likely to be, sold in the United States at LTFV. In accordance with
section 733(b)(1)(A) of the Act and 19 CFR 351.205(b)(1), unless
postponed, we will make our preliminary determinations no later than
140 days after the date of these initiations.
Respondent Selection
In the Petitions, the petitioners identified 227 companies in
Ecuador and 276 companies in Indonesia as producers/exporters of
shrimp.\45\ Following standard practice in LTFV investigations
involving market economy countries, in the event Commerce determines
that the number of companies is large such that 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 under
the appropriate Harmonized Tariff Schedule of the United States (HTSUS)
subheadings listed in the ``Scope of the Investigations,'' in the
appendix.
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\45\ See Petitions at Volume I (page 11 and Exhibit I-16).
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On November 13 and 14, 2023, Commerce released CBP data on imports
of shrimp from Ecuador and Indonesia under administrative protective
order (APO) to all parties with access to information protected by APO
and indicated that interested parties wishing to comment on CBP data
and/or respondent selection must do so within three business days of
the publication date of the notice of initiation of these
investigations.\46\ Comments must be filed electronically using ACCESS.
An electronically-filed document must be received successfully in its
entirety via ACCESS by 5:00 p.m. ET on the specified deadline. Commerce
will not accept rebuttal comments regarding the CBP data or respondent
selection.
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\46\ See Memoranda, ``Release of Customs and Border Protection
Entry Data,'' dated November 13, 2023; and ``Release of Customs and
Border Protection Entry Data,'' dated November 14, 2023.
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Interested parties must submit applications for disclosure under
APO in accordance with 19 CFR 351.305(b). Instructions for filing such
applications may be found on Commerce's website at <a href="https://access.trade.gov/Resources/Administrative_Protective_Order.aspx">https://access.trade.gov/Resources/Administrative_Protective_Order.aspx</a>.
Distribution of Copies of the AD Petitions
In accordance with section 732(b)(3)(A) of the Act and 19 CFR
351.202(f), copies of the public version of the AD Petitions have been
provided to the governments of Ecuador and Indonesia via ACCESS. To the
extent practicable, we will attempt to provide a copy of the public
version of the AD Petitions to each exporter named in the AD Petitions,
as provided under 19 CFR 351.203(c)(2).
ITC Notification
Commerce will notify the ITC of our initiation, as required by
section 732(d) of the Act.
Preliminary Determinations by the ITC
The ITC will preliminarily determine, within 45 days after the date
on which the AD Petitions were filed, whether there is a reasonable
indication that imports of Ecuador and/or Indonesia are materially
injuring, or threatening material injury to, a U.S. industry.\47\ A
negative ITC determination for any
[[Page 81047]]
country will result in the investigation being terminated with respect
to that country.\48\ Otherwise, these LTFV investigations will proceed
according to statutory and regulatory time limits.
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\47\ See section 733(a) of the Act.
\48\ 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 \49\ 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.\50\ 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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\49\ See 19 CFR 351.301(b).
\50\ See 19 CFR 351.301(b)(2).
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Particular Market Situation Allegation
Section 773(e) of the Act addresses the concept of particular
market situation (PMS) for purposes of CV, stating that ``if a
particular market situation exists such that the cost of materials and
fabrication or other processing of any kind does not accurately reflect
the cost of production in the ordinary course of trade, the
administering authority may use another calculation methodology under
this subtitle or any other calculation methodology.'' When an
interested party submits a PMS allegation pursuant to section 773(e) of
the Act, Commerce will respond to such a submission consistent with 19
CFR 351.301(c)(2)(v). If Commerce finds that a PMS exists under section
773(e) of the Act, then it will modify its dumping calculations
appropriately.
Neither section 773(e) of the Act, nor 19 CFR 351.301(c)(2)(v), set
a deadline for the submission of PMS allegations and supporting factual
information. However, in order to administer section 773(e) of the Act,
Commerce must receive PMS allegations and supporting factual
information with enough time to consider the submission. Thus, should
an interested party wish to submit a PMS allegation and supporting new
factual information pursuant to section 773(e) of the Act, it must do
so no later than 20 days after submission of a respondent's initial
section D questionnaire response.
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.\51\ 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, we 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, stand-alone submission; under limited circumstances we will
grant untimely filed requests for the extension of time limits, where
we determine, based on 19 CFR 351.302, that extraordinary circumstances
exist. 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.\52\
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\51\ 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>.
\52\ See 19 CFR 351.302; see also, e.g., Time Limits Final Rule.
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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.\53\
Parties must use the certification formats provided in 19 CFR
351.303(g).\54\ Commerce intends to reject factual submissions if the
submitting party does not comply with the applicable certification
requirements.
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\53\ See section 782(b) of the Act.
\54\ See Certification of Factual Information to Import
Administration During Antidumping and Countervailing Duty
Proceedings, 78 FR 42678 (July 17, 2013) (Final Rule). Additional
information regarding the Final Rule is available at <a href="https://access.trade.gov/Resources/filing/index.html">https://access.trade.gov/Resources/filing/index.html</a>.
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Notification to Interested Parties
Interested parties must submit applications for disclosure under
APO 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 letter 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.\55\
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\55\ 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 732(c)(2)
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 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
[[Page 81048]]
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. 2023-25736 Filed 11-20-23; 8:45 am]
BILLING CODE 3510-DS-P
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</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.