Notice2024-24953

Frozen Warmwater Shrimp From Indonesia: Final Affirmative Determination of Sales at Less-Than-Fair Value

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Published
October 28, 2024

Issuing agencies

Commerce DepartmentInternational Trade Administration

Abstract

The U.S. Department of Commerce (Commerce) determines that imports of frozen warmwater shrimp (shrimp) from Indonesia are being, or are likely to be, sold in the United States at less-than-fair value (LTFV) for the period of investigation (POI) October 1, 2022, through September 30, 2023.

Full Text

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<title>Federal Register, Volume 89 Issue 208 (Monday, October 28, 2024)</title>
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[Federal Register Volume 89, Number 208 (Monday, October 28, 2024)]
[Notices]
[Pages 85498-85500]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-24953]



[[Page 85498]]

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DEPARTMENT OF COMMERCE

International Trade Administration

[A-560-842]


Frozen Warmwater Shrimp From Indonesia: Final Affirmative 
Determination of Sales at Less-Than-Fair Value

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

SUMMARY: The U.S. Department of Commerce (Commerce) determines that 
imports of frozen warmwater shrimp (shrimp) from Indonesia are being, 
or are likely to be, sold in the United States at less-than-fair value 
(LTFV) for the period of investigation (POI) October 1, 2022, through 
September 30, 2023.

DATES: Applicable October 28, 2024.

FOR FURTHER INFORMATION CONTACT: Rachel Jennings or Miranda Bourdeau, 
AD/CVD Operations, Office V, Enforcement and Compliance, International 
Trade Administration, U.S. Department of Commerce, 1401 Constitution 
Avenue NW, Washington, DC 20230; telephone: (202) 482-1110 or (202) 
482-2021, respectively.

SUPPLEMENTARY INFORMATION:

Background

    On May 30, 2024, Commerce published in the Federal Register its 
preliminary affirmative determination in the LTFV investigation of 
shrimp from Indonesia.\1\ We invited interested parties to comment on 
the Preliminary Determination. On July 22, 2024, Commerce tolled 
certain deadlines in this administrative proceeding by seven days.\2\ 
The deadline for the final determination is now October 21, 2024.\3\
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    \1\ See Frozen Warmwater Shrimp from Indonesia: Preliminary 
Affirmative Determination of Sales at Less Than Fair Value, 
Postponement of Final Determination, and Extension of Provisional 
Measures, 89 FR 46861 (May 30, 2024) (Preliminary Determination), 
and accompanying Preliminary Decision Memorandum (PDM).
    \2\ See Memorandum, ``Tolling of Deadlines for Antidumping and 
Countervailing Duty Proceedings,'' dated July 22, 2024.
    \3\ Id.
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    A summary of the events that occurred since Commerce published the 
Preliminary Determination, as well as a full discussion of the issues 
raised by parties for this final determination may be found in the 
Issues and Decision Memorandum.\4\ The Issues and Decision Memorandum 
is a public document and is on file electronically via Enforcement and 
Compliance's Antidumping and Countervailing Duty Centralized Electronic 
Service System (ACCESS). ACCESS is available to registered users at 
<a href="https://access.trade.gov">https://access.trade.gov</a>. In addition, a complete version of the Issues 
and Decision Memorandum can be accessed directly at <a href="https://access.trade.gov/public/FRNoticesListLayout.aspx">https://access.trade.gov/public/FRNoticesListLayout.aspx</a>.
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    \4\ See Memorandum, ``Issues and Decision Memorandum for the 
Final Affirmative Determination of Sales at Less-Than-Fair-Value of 
Frozen Warmwater Shrimp from Indonesia,'' dated concurrently with, 
and hereby adopted by, this notice (Issues and Decision Memorandum).
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Scope of the Investigation

    The product covered by this investigation is shrimp from Indonesia. 
For a complete description of the scope of this investigation, see 
Appendix I.

Scope Comments

    We received no comments from interested parties on the scope of the 
investigation as it appeared in the Preliminary Determination. 
Therefore, we made no changes to the scope of the investigation.

Verification

    As provided in section 782(i) of the Tariff Act of 1930, as amended 
(the Act), Commerce verified the sales and cost information submitted 
by PT Bahari Makmur Sejati (BMS),\5\ and PT First Marine Seafoods and 
PT Khom Foods (collectively, First Marine/Khom Foods) \6\ for use in 
our final determination. We used standard verification procedures, 
including an examination of relevant sales and accounting records, and 
original source documents provided by BMS and First Marine/Khom Foods.
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    \5\ See Memoranda, ``Verification of the Questionnaire Responses 
of PT Bahari Makmur Sejati in the Less-Than-Fair-Value Investigation 
of Frozen Warmwater Shrimp from Indonesia,'' dated July 22, 2024; 
and ``Verification of the Cost Response of PT Bahari Makmur Sejati 
in the Antidumping Duty Investigation of Frozen Warmwater Shrimp 
from Indonesia,'' dated August 6, 2024.
    \6\ See Memoranda, ``Verification of the Questionnaire Responses 
of PT First Marine Seafoods and PT Khom Foods in the Less-Than-Fair-
Value Investigation of Frozen Warmwater Shrimp from Indonesia,'' 
dated August 2, 2024, and ``Verification of the Cost Response of PT 
First Marine Seafoods in the Less Than Fair Value Investigation of 
Frozen Warm Water Shrimp from Indonesia,'' dated September 6, 2024. 
In the Preliminary Determination, Commerce determined that PT First 
Marine Seafoods and PT Khom Foods are a single entity and no party 
commented on this finding. Accordingly, we continue to treat these 
companies as a single entity for this final determination. See 
Preliminary Determination PDM at 5.
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Analysis of Comments Received

    All issues raised in the case and rebuttal briefs by interested 
parties in this investigation are addressed in the Issues and Decision 
Memorandum. A list of the issues raised is attached to this notice as 
Appendix II.

Changes Since the Preliminary Determination

    We have made certain changes since the Preliminary Determination. 
See the Issues and Decision Memorandum for a discussion of these 
changes.

Use of Adverse Facts Available

    In making this final determination, Commerce relied, in part, on 
facts otherwise available with an adverse inference (AFA), pursuant to 
sections 776(a) and (b) of the Act, in determining BMS's domestic 
brokerage and handling expenses. For further discussion of our 
application of AFA, see the Issues and Decision Memorandum.

All-Others Rate

    Section 735(c)(5)(A) of the Act provides that Commerce shall 
determine an estimated all-others rate for all exporters and producers 
not individually examined. This rate shall be an amount equal to the 
weighted average of the estimated weighted-average dumping margins 
established for exporters and producers individually investigated, 
excluding any zero and de minimis margins, and any margins determined 
entirely under section 776 of the Act.
    For the final determination of this investigation, Commerce 
calculated an estimated weighted-average dumping margin of 0.00 percent 
for BMS, and an estimated weighted-average dumping margin of 3.90 
percent for First Marine/Khom Foods. Therefore, the only rate that is 
not zero, de minimis, or based entirely on facts otherwise available is 
the rate calculated for First Marine/Khom Foods. Consequently, the rate 
calculated for First Marine/Khom Foods is also assigned as the rate for 
all other producers and exporters.

Final Determination

    Commerce determines that the following estimated weighted-average 
dumping margins exist:

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------------------------------------------------------------------------
                                                       Weighted-average
                  Exporter/producer                     dumping margin
                                                         (percent) \7\
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PT Bahari Makmur Sejati.............................                0.00
PT First Marine Seafoods/PT Khom Foods..............                3.90
All Others..........................................                3.90
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Disclosure
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    \7\ Commerce determined that countervailable subsidies are not 
being provided to producers and exporters of shrimp from Indonesia. 
See Memorandum, ``Decision Memorandum for the Final Negative 
Determination of the Countervailing Duty Investigation of Frozen 
Warmwater Shrimp from Indonesia,'' dated concurrently with this 
notice.
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    Commerce intends to disclose the calculations performed in 
connection with this final determination to interested parties within 
five days of any public announcement or, if there is no public 
announcement, within five days of the date of publication of this 
notice in the Federal Register, in accordance with 19 CFR 351.224(b).

Continuation of Suspension of Liquidation

    In accordance with section 735(c)(1)(B) of the Act, Commerce will 
instruct U.S. Customs and Border Protection (CBP) to continue to 
suspend liquidation of all entries of subject merchandise, as described 
in Appendix I of this notice, which were entered, or withdrawn from 
warehouse, for consumption on or after May 30, 2024, the date of 
publication of the Preliminary Determination in the Federal Register 
except for those entries of subject merchandise produced and exported 
by BMS.
    Pursuant to section 735(c)(1)(B)(ii) of the Act and 19 CFR 
351.210(d), upon the publication of this notice, we will instruct CBP 
to require a cash deposit for estimated weighted-average antidumping 
duties as follows: (1) the cash deposit rate for the companies listed 
in the table above that exported the subject merchandise will be equal 
to the company-specific estimated weighted-average dumping margins 
determined in this final determination; (2) if the exporter is not a 
company identified in the table above, but the producer is, then the 
cash deposit rate will be equal to the company-specific estimated 
weighted-average dumping margin established for that producer of the 
subject merchandise; and (3) the cash deposit rate for all other 
producers and exporters will be equal to the estimated weighted-average 
dumping margin for all other producers and exporters. These suspension 
of liquidation instructions will remain in effect until further notice.
    Because the estimated weighted-average dumping margin for BMS is 
zero, entries of shipments of subject merchandise that are produced and 
exported by BMS will not be subject to suspension of liquidation or 
cash deposit requirements. In such situations, Commerce also applies 
the exclusion from the provisional measures to the producer/exporter 
combination that was examined in the investigation. Accordingly, 
Commerce will not be directing CBP to suspend liquidation of entries of 
subject merchandise produced and exported by BMS. However, entries of 
subject merchandise from this company in any other producer/exporter 
combination (i.e., where BMS is either the producer or the exporter, 
but not both), or by third parties that sourced subject merchandise 
from the excluded producer/exporter combination, will be subject to 
suspension of liquidation at the all-others rate.
    Further, because the estimated weighted-average dumping margin is 
zero for subject merchandise produced and exported by BMS, entries of 
such merchandise will be excluded from the potential antidumping duty 
order. Such an exclusion will not be applicable to merchandise exported 
to the United States by this respondent in any other producer/exporter 
combinations or by third parties that sourced subject merchandise from 
the excluded producer/exporter combination.

U.S. International Trade Commission Notification

    In accordance with section 735(d) of the Act, we will notify the 
U.S. International Trade Commission (ITC) of our final affirmative 
determination of sales at LTFV. Because the final determination in this 
proceeding is affirmative, in accordance with section 735(b)(2) of the 
Act, the ITC will make its final determination as to whether the 
domestic industry in the United States is materially injured, or 
threatened with material injury, by reason of imports of shrimp from 
Indonesia no later than 45 days after this final determination. If the 
ITC determines that material injury or threat of material injury does 
not exist, the proceeding will be terminated and all cash deposits will 
be refunded or canceled, and suspension of liquidation will be lifted. 
If the ITC determines that such injury does exist, Commerce will issue 
an antidumping duty order directing CBP to assess, upon further 
instruction by Commerce, antidumping duties on all imports of the 
subject merchandise that are entered, or withdrawn from warehouse, for 
consumption on or after the effective date of the suspension of 
liquidation, as discussed above in the ``Continuation of Suspension of 
Liquidation'' section.

Administrative Protective Order

    This notice serves as the only reminder to parties subject to an 
administrative protective order (APO) of their responsibility 
concerning the disposition of proprietary information disclosed under 
APO in accordance with 19 CFR 351.305(a)(3). Timely written 
notification of the return or destruction of APO materials or 
conversion to judicial protective order is hereby requested. Failure to 
comply with the regulations and terms of an APO is a sanctionable 
violation.

Notification to Interested Parties

    This final determination and notice are issued and published in 
accordance with sections 735(d) and 777(i) of the Act, and 19 CFR 
351.210(c).

    Dated: October 21, 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.

Appendix I

Scope of the Investigation

    The scope of this investigation 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.

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    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 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 1605.21.10.20); (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 
subheading 1605.21.05.00 and 1605.29.05.00); (5) dried shrimp and 
prawns; (6) canned warmwater shrimp and prawns (HTSUS subheading 
1605.29.10.40); 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 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.

Appendix II

List of Topics Discussed in the Issues and Decision Memorandum

I. Summary
II. Background
III. Changes Since the Preliminary Determination
IV. Discussion of the Issues
    Comment 1: Whether BMS's Cost Reporting Warrants the Application 
of Total AFA
    Comment 2: Whether Commerce Should Rely on BMS's Reported 
Selling Prices and Expenses for Products Containing Sauce
    Comment 3: Whether Commerce Should Apply Partial AFA to BMS's 
Reported Domestic Brokerage and Handling Expenses (DBROKU)
    Comment 4: Whether Commerce Should Use BMS's Quarterly Cost Data
    Comment 5: Whether Commerce Should Revise BMS's ``Transactions 
Disregarded'' Calculation
    Comment 6: Whether Commerce Should Reject the Petitioner's Pre-
Verification Comments
    Comment 7: Whether Commerce Should Reject First Marine/Khom 
Foods' Raw Material Cost Reporting
    Comment 8: Whether Commerce Should Make a Correction to First 
Marine/Khom Foods' Final Margin Program
    Comment 9: Whether Commerce Should Continue to Rely on the 
Financial Statements of PT Central Poteina Prima Tbk (CP Prima) to 
Calculate Constructed Value (CV) Profit and Selling Expenses
V. Recommendation

[FR Doc. 2024-24953 Filed 10-25-24; 8:45 am]
BILLING CODE 3510-DS-P


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Indexed from Federal Register on October 28, 2024.

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