Notice2024-08817
Frozen Warmwater Shrimp From Ecuador: Amended Preliminary Determination of Countervailing Duty Investigation
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
April 25, 2024
Issuing agencies
Commerce DepartmentInternational Trade Administration
Abstract
The U.S. Department of Commerce (Commerce) published a notice in the Federal Register on April 1, 2024, in which Commerce preliminarily determined that countervailable subsidies are being provided to producers and exporters of frozen warmwater shrimp (shrimp) from Ecuador. Based on comments filed by interested parties in this investigation, Commerce is amending the preliminary affirmative countervailing duty (CVD) determination on shrimp from Ecuador to correct significant ministerial errors.
Full Text
<html>
<head>
<title>Federal Register, Volume 89 Issue 81 (Thursday, April 25, 2024)</title>
</head>
<body><pre>
[Federal Register Volume 89, Number 81 (Thursday, April 25, 2024)]
[Notices]
[Pages 31722-31723]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-08817]
-----------------------------------------------------------------------
DEPARTMENT OF COMMERCE
International Trade Administration
[C-331-806]
Frozen Warmwater Shrimp From Ecuador: Amended Preliminary
Determination of Countervailing Duty Investigation
AGENCY: Enforcement and Compliance, International Trade Administration,
Department of Commerce.
SUMMARY: The U.S. Department of Commerce (Commerce) published a notice
in the Federal Register on April 1, 2024, in which Commerce
preliminarily determined that countervailable subsidies are being
provided to producers and exporters of frozen warmwater shrimp (shrimp)
from Ecuador. Based on comments filed by interested parties in this
investigation, Commerce is amending the preliminary affirmative
countervailing duty (CVD) determination on shrimp from Ecuador to
correct significant ministerial errors.
DATES: Applicable April 25, 2024.
FOR FURTHER INFORMATION CONTACT: Zachary Shaykin or Reginald Anadio,
AD/CVD Operations, Office IV, Enforcement and Compliance, International
Trade Administration, U.S. Department of Commerce, 1401 Constitution
Avenue NW, Washington, DC 20230; telephone: (202) 482-2638 or (202)
482-3166, respectively.
SUPPLEMENTARY INFORMATION:
Background
In accordance with section 703(b) of the Tariff Act of 1930, as
amended (the Act), and 19 CFR 351.205(b), on April 1, 2024, Commerce
published in the Federal Register the preliminary affirmative CVD
determination for shrimp from Ecuador, and alignment of the final
determination with the final antidumping duty determination.\1\ From
March 28 through April 2, 2024, we received timely-filed ministerial
error allegations from Industrial Pesquera Santa Priscila S.A. (Santa
Priscila), Sociedad Nacional de Gal[aacute]pagos C.A. (SONGA), the
petitioner,\2\ and the Government of Ecuador (GOE).\3\ Santa Priscila,
SONGA, and the GOE alleged in their ministerial error allegations that
Commerce made significant ministerial errors in the Preliminary
Determination with respect to Santa Priscila and SONGA's subsidy
rates.\4\
---------------------------------------------------------------------------
\1\ See Frozen Warmwater Shrimp From Ecuador: Preliminary
Affirmative Countervailing Duty Determination, and Alignment of
Final Determination With the Final Antidumping Duty Determination,
89 FR 22379 (April 1, 2024) (Preliminary Determination), and
accompanying Preliminary Decision Memorandum (PDM).
\2\ The petitioner in this investigation is the American Shrimp
Processors Association.
\3\ See Santa Priscila's Letter, ``Frozen Warmwater Shrimp from
Ecuador--Request for Correction of Ministerial Errors with Respect
to Industrial Pesquera Santa Priscila S.A. and Request for
Meeting,'' dated March 28, 2024 (Santa Priscila's Ministerial Error
Allegation); SONGA's Letter, ``Frozen Warmwater Shrimp from
Ecuador--Request for Correction of Ministerial Error in Preliminary
Determination,'' dated March 29, 2024 (SONGA's Ministerial Error
Allegation); see also Petitioner's Letter, ``Frozen Warmwater Shrimp
from Ecuador: Ministerial Error Comments,'' dated April 2, 2024; and
GOE's Letter, ``Frozen Warmwater Shrimp from Ecuador--Request for
Correction of Ministerial Errors with Respect to Industrial Pesquera
Santa Priscila S.A. and Request for Meeting,'' dated April 2, 2024
(GOE's Ministerial Error Allegation).
\4\ See Santa Priscila's Ministerial Error Allegation; see also
SONGA's Ministerial Error Allegation; and GOE's Ministerial Error
Allegation.
---------------------------------------------------------------------------
Period of Investigation
The period of investigation (POI) is January 1, 2022, through
December 31, 2022.
Scope of the Investigation
The products covered by this investigation are shrimp from Ecuador.
For a complete description of the scope of this investigation, see
Preliminary Determination at Appendix I.
Analysis of Significant Ministerial Error Allegations
Commerce will analyze any comments received and, if appropriate,
correct any significant ministerial error by amending the preliminary
determination according to 19 CFR 351.224(e). A ministerial error is
defined in 19 CFR 351.224(f) as ``an error in addition, subtraction, or
other arithmetic function, clerical error resulting from inaccurate
copying, duplication, or the like, and any other similar type of
unintentional error which the Secretary considers ministerial.'' \5\ A
significant ministerial error is defined as a ministerial error, the
correction of which, singly or in combination with other errors, would
result in: (1) a change of at least five absolute percentage points in,
but not less than 25 percent of, the CVD rate calculated in the
original preliminary determination; or (2) a difference between a CVD
rate of zero (or de minimis) and a CVD rate greater than de minimis, or
vice versa.\6\
---------------------------------------------------------------------------
\5\ See section 705(e) of the Act.
\6\ See 19 CFR 351.224(g).
---------------------------------------------------------------------------
Amended Preliminary Determination
Pursuant to 19 CFR 351.224(e) and (g)(1), Commerce is amending the
Preliminary Determination to reflect the correction of two ministerial
errors made in the calculation of the countervailable subsidy rate for
Santa Priscila.\7\ Specifically, when calculating a countervailable
subsidy rate attributable to Santa Priscila under the Tax Incentives
for Priority Sectors under the 2010 Organic Production Code (Priority
Sectors) program, we inadvertently used the wrong tax deduction amount
with which to calculate the benefit attributable to Santa Priscila
under the Priority Sectors Program.\8\ Further, we inadvertently
[[Page 31723]]
calculated a countervailable subsidy rate attributable to Santa
Priscila under both the Priority Sectors program and the Investment
Contract program that should have only been calculated pursuant to one
program, i.e., the Priority Sectors Program.\9\ Commerce finds that
these ministerial errors are significant ministerial errors within the
meaning of 19 CFR 351.224(g) because correction of these errors
decreases Santa Priscila's countervailing subsidy rate from 13.41 to
2.89 percent, which is a change that is at least five absolute
percentage points in, and more than 25 percent of, the subsidy rate
calculated for Santa Priscila in the original Preliminary
Determination.
---------------------------------------------------------------------------
\7\ See Memorandum, ``Countervailing Duty Investigation of
Frozen Warmwater Shrimp from Ecuador: Allegations of Significant
Ministerial Errors in the Preliminary Determination,'' dated
concurrently with, and hereby adopted by, this notice (Preliminary
Ministerial Error Memorandum).
\8\ See Preliminary Determination PDM at 15 through 17.
\9\ Id. at 15 through 17 and 23 through 26.
---------------------------------------------------------------------------
Furthermore, in the Preliminary Determination, we calculated a 1.69
percent subsidy rate for SONGA and indicated that we will instruct U.S.
Customs and Border Protection (CBP) to require a cash deposit equal to
that rate. Section 703(b)(4)(B) of the Act, provides that Commerce will
apply a de minimis threshold of two percent to a country designated by
the United States Trade Representative (USTR) as a developing country
for purposes of the CVD law.\10\ Ecuador is designated as a developing
country by the USTR under CVD law and is subject to a de minimis
standard of two percent.\11\ As stated by SONGA and the GOE,\12\ we
inadvertently did not designate the preliminary ad valorem subsidy rate
assigned to SONGA as de minimis as stipulated by section 703(b)(4)(B)
of the Act. Therefore, for SONGA, we will not direct CBP to suspend
liquidation of entries of the subject merchandise from Ecuador, in
accordance with section 703(b)(4)(B) of the Act.
---------------------------------------------------------------------------
\10\ See section 703(b)(4)(B) of the Act; see also section
771(36) of the Act.
\11\ See Designations of Developing and Least Developed
Countries Under the Countervailing Duty Law, 85 FR 7613, 7615
(February 10, 2020); see also Frozen Warmwater Shrimp from Ecuador,
India, Indonesia, and the Socialist Republic of Vietnam: Initiation
of Countervailing Duty Investigation, 88 FR 81053, 81056 (November
21, 2023).
\12\ See SONGA's Ministerial Error Allegation; see also GOE's
Ministerial Error Allegation.
---------------------------------------------------------------------------
In addition, as a result of this inadvertent error and as
stipulated by section 705(c)(5)(A) of the Act, we are correcting the
all-others rate to equal the amended preliminary CVD rate established
for Santa Priscila, i.e., 2.89 percent ad valorem, as this is the only
rate that is not zero, de minimis, or based entirely on the facts
otherwise available.
Also, we listed an incorrect name for one of Santa Priscila's
cross-owned companies, i.e., Tropical Packing Ecuador S.A.\13\
Moreover, we inadvertently stated ``aluminum extrusions from
Indonesia'' in the ITC Notification section of the original notice.\14\
---------------------------------------------------------------------------
\13\ See Preliminary Determination, 89 FR at 22380.
\14\ Id. at 22381
---------------------------------------------------------------------------
For a complete discussion of the alleged ministerial errors, see
the Preliminary Ministerial Error Memorandum.
Amended Preliminary Determination
------------------------------------------------------------------------
Subsidy rate (percent ad
Company valorem)
------------------------------------------------------------------------
Industrial Pesquera Santa Priscila S.A.\15\ 2.89.
Sociedad Nacional de Gal[aacute]pagos 1.69 (de minimis).
C.A.\16\.
All-Others................................. 2.89.
------------------------------------------------------------------------
Correction
---------------------------------------------------------------------------
\15\ As discussed in the Preliminary Determination, Commerce has
found the following companies to be cross-owned with Santa Priscila:
Manesil S.A., Produmar S.A., Egidiosa S.A., and Tropical Packing
Ecuador S.A.
\16\ As discussed in the Preliminary Determination, Commerce has
found the following companies to be cross-owned with SONGA: Naturisa
S.A., Holding Sola & Sola Solacciones S.A., and Empacadora Champmar
S.A.
---------------------------------------------------------------------------
In the Federal Register of April 1, 2024, in FR Doc 2024-06845, on
page 22380, in the third column, correct the Subsidy Rate (percent ad
valorem) for Sociedad Nacional de Galapagos C.A. and All Others, as
found in the rate table, to 1.69 de minimis and 2.89, respectively, and
correct the name ``Tropack S.A.'' as found under footnote 9 to
``Tropical Packing Ecuador S.A.'' Additionally, in FR Doc 2024-06845,
on page 22380, in the third column, second paragraph, include ``As
provided for in section 703(b)(4)(B) of the Act, for developing
countries, any rate less than two percent ad valorem in an
investigation is de minimis. Accordingly, for SONGA, we will not direct
CBP to suspend liquidation of entries of subject merchandise'' before
the sentence stating, ``Further, pursuant to 19 CFR 351.205(d),
Commerce will instruct CBP to require a cash deposit equal to the rates
indicated above.'' Additionally, in FR Doc 2024-06845, on page 22381,
in the second column, correct ``aluminum extrusions from Indonesia'' to
``shrimp from Ecuador.''
Amended Cash Deposits and Suspension of Liquidation
The collection of cash deposits and suspension of liquidation will
be established according to the rates calculated in this amended
preliminary determination. Because the amended rates for Santa Priscila
and all others result in decreased cash deposits, they will be
effective retroactively to April 1, 2024, the date of publication of
the Preliminary Determination. Parties will be notified of this
determination, in accordance with section 703(d) and (f) of the Act.
Disclosure
We intend to disclose the calculations performed to parties in this
proceeding within five days after public announcement of the amended
preliminary determination, in accordance with 19 CFR 351.224.
International Trade Commission Notification
In accordance with section 703(f) of the Act, we will notify the
International Trade Commission of our amended preliminary
determination.
Notification to Interested Parties
This notice is issued and published in accordance with sections
703(f) and 777(i) of the Act.
Dated: April 19, 2024.
Ryan Majerus,
Deputy Assistant Secretary for Policy and Negotiations, performing the
non-exclusive functions and duties of the Assistant Secretary for
Enforcement and Compliance.
[FR Doc. 2024-08817 Filed 4-24-24; 8:45 am]
BILLING CODE 3510-DS-P
</pre></body>
</html>Indexed from Federal Register on April 25, 2024.
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.